Abstract
We have a lack of understanding of the role of socioemotional wealth (SEW) in determining the success of alliances formed by family firms. By integrating the SEW of family businesses, and alliance management capability (AMC) of strategic alliance, literature, this study investigates how the extent of SEW in family firms operating in politically unstable contexts influences the development of AMCs, which in turn acts as a determinant of alliance success. By gathering data from 302 family firms in a politically unstable, the Libyan context, we found that the greater the SEW of family firms, the more likely they are to develop three types of AMCs: namely, alliance proactiveness (firms’ ability to identify valuable partners for alliances), alliance coordination (firms’ ability to manage the relationship with alliance partners), and alliance learning (firms’ ability to learn from alliance partners), capabilities, which in turn increases the success of alliances formed by family businesses. We also found that the level of political instability confronted by family businesses positively moderates the positive relationship between the extent of SEW and AMCs. Our results also generate useful practical implications to family businesses, their strategic alliance partners, and policymakers involved in supporting family businesses.
Published Version
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a call