The self-organisation of strategic alliances
AbstractThe paper examines factors influencing the formation of horizontal inter-firm strategic alliances in dynamic product markets characterised by rapid rates of technological change and a high degree of market uncertainty. A novel self-organisation approach to strategic alliances is developed which is contrasted with transaction cost and competence approaches. The self-organisation approach is operationalised by a simulation model, the results of which highlight the importance of micro-macro feedbacks between individuals' decision-making and emergent institutional environments. Industries with similar initial characteristics can evolve into very different institutional regimes because firms' decisions to cooperate within an alliance or to compete individually are interdependent, expected payoffs depending on the sequence of prior decisions. The findings raise a serious question mark against structuralist approaches to the study of strategic alliances.
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Bibliographic InfoArticle provided by Taylor & Francis Journals in its journal Economics of Innovation and New Technology.
Volume (Year): 12 (2003)
Issue (Month): 3 ()
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- L10 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - General
- L22 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Organization and Market Structure
- L65 - Industrial Organization - - Industry Studies: Manufacturing - - - Chemicals; Rubber; Drugs; Biotechnology
- O30 - Economic Development, Technological Change, and Growth - - Technological Change; Research and Development; Intellectual Property Rights - - - General
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