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Growth of Enterprises through Alliances in Central Europe

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  • Slavo Radosevic

    (UCL School of Slavonic and East European Studies)

Abstract

The paper explores the role of alliances in central European countries from the perspective of growth of enterprises. The analysis is based on a comparative overview of 26 cases studies of enterprises in Poland, Czech Republic and Hungary which have alliances with foreign partners. Most of the alliances are production alliances, especially subcontracting, that are combined with several other types of alliances, especially marketing agreements. The balance between generic expansion, alliances (networks), and mergers & acquisitions as modes of growth of enterprises reflects differences in firms' ability to control technology, access to market and finance. However, the final outcome does not seem to be a direct function of the ability of enterprises to control these three factors. The types and dynamics of alliances also reflect the political and legal situation of a country (privatisation, attitude towards FDI) as well as specific sectoral features in terms of technology, finance and markets. Features of alliances are in that context shaped through the interaction between firm-specific factors and capabilities, sector- and country-specific factors.

Suggested Citation

  • Slavo Radosevic, 2004. "Growth of Enterprises through Alliances in Central Europe," UCL SSEES Economics and Business working paper series 36, UCL School of Slavonic and East European Studies (SSEES).
  • Handle: RePEc:see:wpaper:36
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    Cited by:

    1. Filippov, Sergey, 2008. "Russia's emerging multinationals: trends and issues," MERIT Working Papers 2008-062, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    2. Radosevic, Slavo, 1999. "Transformation of science and technology systems into systems of innovation in central and eastern Europe: the emerging patterns and determinants," Structural Change and Economic Dynamics, Elsevier, vol. 10(3-4), pages 277-320, December.

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