IDEAS home Printed from https://ideas.repec.org/h/tkp/tiim13/s5_15-27.html
   My bibliography  Save this book chapter

A System Dynamics Model of Trust, Knowledge Sharing and Stability of Strategic Alliance

Author

Listed:
  • Chinho Lin

    (National Cheng Kung University, Taiwan)

  • NguyenDong-Thai Dao

    (National Cheng Kung University, Taiwan)

Abstract

Purpose: We present a comprehensive framework of the key determinants of the stability in strategic alliances (SAS). Herein the relationship of triad: trust, knowledge sharing and stability is digged dramatically. Design/methodology/approach: We propose a dynamics framework of stability in SAS based on a review of the literature. The game theory concept is adopted in the conceptual framework. The simulation is based on the system dynamics and characterizes how the constituent elements of the strategic alliance behave. Findings: The major finding of this paper is that result from the literary verbal analysis can be transferred into a dynamics model which can be used to fulfill determinants of the stability of strategic alliance. Practical implications: Based on the framework, a number of propositions are developed to facilitate empirical research on trust, knowledge sharing and stability in SAS. Managerial implications from the framework are also discussed. Originality/value: The value of this paper is literary verbal analysis can be transferred into a dynamics model which can be used to fulfill determinants of the stability of the strategic alliance. We find out that in case of low trust and high level of the un-balance knowledge sharing the strategic alliance became extremely unstable and vise versa.

Suggested Citation

  • Chinho Lin & NguyenDong-Thai Dao, 2013. "A System Dynamics Model of Trust, Knowledge Sharing and Stability of Strategic Alliance," Diversity, Technology, and Innovation for Operational Competitiveness: Proceedings of the 2013 International Conference on Technology Innovation and Industrial Management,, ToKnowPress.
    • Handle: RePEc:tkp:tiim13:s5_15-27
    as

    Download full text from publisher

    File URL: http://www.toknowpress.net/ISBN/978-961-6914-07-9/papers/S5_15-27.pdf
    File Function: full text
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Bernard Garrette & Pierre Dussauge & W. Mitchell, 2004. "Asymmetric performance: the market share impact of scale and link alliances in the global auto industry," Post-Print hal-00458748, HAL.
    2. T.K. Das & Rajesh Kumar, 2009. "Interpartner harmony in strategic alliances: managing commitment and forbearance," International Journal of Human Rights and Constitutional Studies, Inderscience Enterprises Ltd, vol. 1(1), pages 24-52.
    3. Gee W. Bock & Young-Gul Kim, 2002. "Breaking the Myths of Rewards: An Exploratory Study of Attitudes about Knowledge Sharing," Information Resources Management Journal (IRMJ), IGI Global, vol. 15(2), pages 14-21, April.
    4. Richard J. Arend & Darryl A. Seale, 2005. "Modeling alliance activity: an iterated prisoners' dilemma with exit option," Strategic Management Journal, Wiley Blackwell, vol. 26(11), pages 1057-1074, November.
    5. Aimin Yan & Ming Zeng, 1999. "International Joint Venture Instability: A Critique of Previous Research, A Reconceptualization, and Directions for Future Research," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 30(2), pages 397-414, June.
    6. Jiang, Xu & Li, Yuan & Gao, Shanxing, 2008. "The stability of strategic alliances: Characteristics, factors and stages," Journal of International Management, Elsevier, vol. 14(2), pages 173-189, June.
    7. Das, T. K. & Teng, Bing-Sheng, 2001. "A risk perception model of alliance structuring," Journal of International Management, Elsevier, vol. 7(1), pages 1-29.
    8. Daniel Z. Levin & Rob Cross, 2004. "The Strength of Weak Ties You Can Trust: The Mediating Role of Trust in Effective Knowledge Transfer," Management Science, INFORMS, vol. 50(11), pages 1477-1490, November.
    9. Pierre Dussauge & Bernard Garrette & Will Mitchell, 2004. "Asymmetric performance: the market share impact of scale and link alliances in the global auto industry," Strategic Management Journal, Wiley Blackwell, vol. 25(7), pages 701-711, July.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Zhang-sheng Jiang & Yun-hong Hao, 2013. "Game analysis of technology innovation alliance stability based on knowledge transfer," Computational and Mathematical Organization Theory, Springer, vol. 19(4), pages 403-421, December.
    2. Wilfred Amaldoss & Richard Staelin, 2010. "Cross-Function and Same-Function Alliances: How Does Alliance Structure Affect the Behavior of Partnering Firms?," Management Science, INFORMS, vol. 56(2), pages 302-317, February.
    3. Scaringella, Laurent & Burtschell, François, 2017. "The challenges of radical innovation in Iran: Knowledge transfer and absorptive capacity highlights — Evidence from a joint venture in the construction sector," Technological Forecasting and Social Change, Elsevier, vol. 122(C), pages 151-169.
    4. Paolo G. Garella & Martin Peitz, 2007. "Alliances between Competitors and Consumer Information," Journal of the European Economic Association, MIT Press, vol. 5(4), pages 823-845, June.
    5. Hsieh, Linda H.Y. & Rodrigues, Suzana B. & Child, John, 2010. "Risk perception and post-formation governance in international joint ventures in Taiwan: The perspective of the foreign partner," Journal of International Management, Elsevier, vol. 16(3), pages 288-303, September.
    6. Pierre‐Xavier Meschi & Anne Norheim‐Hansen, 2020. "Partner‐diversity effects on alliance termination in the early stage of green alliance formation: Empirical evidence from carbon‐emission reduction projects in Latin America," Business Strategy and the Environment, Wiley Blackwell, vol. 29(1), pages 250-261, January.
    7. Yi-Ju Lo & Tung M. Hung, 2017. "Is a powerful rival a right partner?," Review of Managerial Science, Springer, vol. 11(3), pages 661-690, July.
    8. Nikolchenko, Natalia & Lebedeva, Anastasia, 2017. "Integrative Approach to Supply Chain Collaboration in Distribution Networks: Impact on Firm Performance," Conference Papers 10462, Graduate School of Management, St. Petersburg State University.
    9. Marco Furlotti & Giuseppe Soda, 2018. "Fit for the Task: Complementarity, Asymmetry, and Partner Selection in Alliances," Organization Science, INFORMS, vol. 29(5), pages 837-854, October.
    10. Kaufmann, Jeffrey B. & O'Neill, Hugh M., 2007. "Do culturally distant partners choose different types of joint ventures?," Journal of World Business, Elsevier, vol. 42(4), pages 435-448, December.
    11. Yue Zhao & Ronaldo Parente & Stav Fainshmidt & Steven Carnovale, 2021. "MNE host-country alliance network position and post-entry establishment mode choice," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 52(7), pages 1350-1364, September.
    12. Yanhui Zhao & Roger J. Calantone & Clay M. Voorhees, 2018. "Identity change vs. strategy change: the effects of rebranding announcements on stock returns," Journal of the Academy of Marketing Science, Springer, vol. 46(5), pages 795-812, September.
    13. Nakul Parameswar & Sanjay Dhir & Sushil, 2020. "Interpretive Ranking of Choice of Interaction of Parent Firms Post-International Joint Venture Termination using TISM-IRP," Global Journal of Flexible Systems Management, Springer;Global Institute of Flexible Systems Management, vol. 21(1), pages 1-16, March.
    14. Chen, Li-Yu & Lai, Jung-Ho & Chang, Shao-Chi, 2022. "Strategic networks, certification, and initial public offerings," International Review of Financial Analysis, Elsevier, vol. 83(C).
    15. Joel M. Evans & Michael G. Hendron & James B. Oldroyd, 2015. "Withholding the Ace: The Individual- and Unit-Level Performance Effects of Self-Reported and Perceived Knowledge Hoarding," Organization Science, INFORMS, vol. 26(2), pages 494-510, April.
    16. de Man, Ard-Pieter & Luvison, Dave, 2019. "Collaborative business models: Aligning and operationalizing alliances," Business Horizons, Elsevier, vol. 62(4), pages 473-482.
    17. Michael Nippa & Jeffrey J Reuer, 2019. "On the future of international joint venture research," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 50(4), pages 555-597, June.
    18. Ming-Tien Tsai & Hsiu-Ching Chang & Nai-Chang Cheng & Chung-Chang Lien, 2013. "Understanding IT professionals’ knowledge sharing intention through KMS: a social exchange perspective," Quality & Quantity: International Journal of Methodology, Springer, vol. 47(5), pages 2739-2753, August.
    19. Hanna Hottenrott & Cindy Lopes-Bento, 2015. "Quantity or quality? Knowledge alliances and their effects on patenting," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 24(5), pages 981-1011.
    20. Petrosyan, Leon A. (ed.) & Zenkevich, Nikolay A. (ed.), 2017. "Contributions to Game Theory and Management (GTM2016), vol. X," Conference Papers 10427, Graduate School of Management, St. Petersburg State University.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:tkp:tiim13:s5_15-27. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Maks Jezovnik (email available below). General contact details of provider: http://www.toknowpress.net/conferences .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.