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Strategic Alliances between SMEs and Large Firms: An Exploration of the Dynamic Process

Author

Listed:
  • Senad Rothkegel

    (University of Auckland Business School, Department of Management and Employment Relations)

  • Ljiljana Erakovic

    (University of Auckland Business School, Department of Management and Employment Relations)

  • Deborah Shepherd

    (University of Auckland Business School, Department of Management and Employment Relations)

Abstract

This paper explores the dynamics in strategic alliances between small and medium sized enterprises (SMEs) and large organisations (corporates). Despite the volumes written on this subject, few studies take into account this context of inter-organisational relationships. The dynamics in strategic partnerships between small and large organisations are potentially multifaceted and fraught with complexities and contradictions. The partner organisations bring diverse interests and resources to the strategic partnerships and these affect the dynamics of their relationships. Using the literature on strategic alliances, this article examines four such strategic partnerships in New Zealand. Results show that in order to increase the likelihood of successful collaboration, the alliance partners must understand the importance of building trust and a shared alliance purpose, and both of these must be communicated effectively at executive and operational levels.

Suggested Citation

  • Senad Rothkegel & Ljiljana Erakovic & Deborah Shepherd, 2006. "Strategic Alliances between SMEs and Large Firms: An Exploration of the Dynamic Process," management revue - Socio-Economic Studies, Nomos Verlagsgesellschaft mbH & Co. KG, vol. 17(1), pages 50-71.
    • Handle: RePEc:nms:mamere:1861-9908_mrev_2006_01_rothkegel
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    File URL: https://www.nomos-elibrary.de/10.5771/0935-9915-2006-1-50
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    References listed on IDEAS

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    Cited by:

    1. Josaphat Kweka & Fadhili Sooi, 2020. "Partnership for inclusive growth: Can linkages with large firms spur the growth of SMEs in Tanzania?," WIDER Working Paper Series wp-2020-102, World Institute for Development Economic Research (UNU-WIDER).
    2. Salma Echcharqy, 2020. "Collaborative Growth: The Relationship between the Development Mode and the Profile of Moroccan SME," International Review of Management and Marketing, Econjournals, vol. 10(5), pages 109-116.

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    More about this item

    Keywords

    Strategic Alliances; SMEs; Trust; Commitment; New Zealand;
    All these keywords.

    JEL classification:

    • F23 - International Economics - - International Factor Movements and International Business - - - Multinational Firms; International Business
    • J53 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining - - - Labor-Management Relations; Industrial Jurisprudence
    • M10 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - General

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