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Introduction to Part IV

In: Creating Value through International Strategy

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  • Africa Ariño

Abstract

Globalization is one of the drivers of the explosion in alliance formation that has been experienced since the mid-1980s. Gone are the days when companies seeking multinational expansion formed equity joint ventures (JVs) with the main — and at times, sole — purpose of fulfilling governmental requirements that demanded local ownership. Little more than a ‘passport’ was expected from partners. On the contrary, in today’s alliances companies seek contributions from their partners which are deemed as valuable as their own. Globalization enhances the value of some existing capabilities and diminishes that of others, creating the need for a new set of capabilities (Nohria and García-Pont 1991). In this context, alliances and networks become a valuable means to gain access to the desired capabilities in a prompt manner, thus contributing to creating value through global strategy.

Suggested Citation

  • Africa Ariño, 2004. "Introduction to Part IV," Palgrave Macmillan Books, in: Africa Ariño & Pankaj Ghemawat & Joan E. Ricart (ed.), Creating Value through International Strategy, chapter 14, pages 181-184, Palgrave Macmillan.
    • Handle: RePEc:pal:palchp:978-0-230-00556-3_14
    DOI: 10.1057/9780230005563_14
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