Business Alliances Research Articles

Business alliances, shared resources and environmental uncertainty: A qualitative study

Globalisation and competitiveness among companies have been increasing, leading many companies to be unable, in isolation, to meet the demands of markets in constant turbulence. The business model based on isolated competition has given way to establishing alliances between companies, allowing them to face the uncertainty and complexity of the changing environment more easily. A growing number of companies depend on forming alliances to access the necessary resources and thus achieve strategic objectives. Following on from the study by Prabhudesai et al. (2022), the present study aims to determine how the different types of resources available to a small and medium-sized enterprise (SME), in conjunction with the uncertainty of the environment perceived by owner-managers, affect alliance formation. To achieve this goal, a qualitative thematic approach/methodology was used, combining two theoretical perspectives, Resource Dependence Theory (RDT) and Resource Based View (RBV), taking into account the uncertainty of the environment and the resources held. Based on interviews with managers of three companies and analysis of internal documents, the results show that the companies’ resources and the uncertainty of the environment trigger alliance formation. This study distinguishes between the two types of resources, tangible and intangible, and explains how the interaction of resource type and environmental uncertainty affects alliance formation.

Performance, Longevity and Evolution of Joint Venture: Investigation in the Lifecycle of the Venture Through the Case of an International Joint Venture in India

Joint ventures (JVs) and cooperative business alliances have been around for over a century, initially emerging from the need for shared risk and capital. Research on JVs has evolved from focusing on motivations for formation to examining their performance and termination phases. However, the dissolution and post-termination stages of international joint ventures remain relatively underexplored despite the rising trend of alliance terminations. This study addresses these gaps by analysing the evolution of JVs, including restructuring and dissolution, through a longitudinal case study of a successful business enterprise spanning four decades that has undergone the entire cycle. It finds that changes in partner composition and equity, influenced by external factors, are integral to a JV’s evolution. Additionally, trust and learning play key roles in control decisions, and terminations should be viewed as adaptations to market shifts rather than failures. The main drivers of termination often arise from changes during the JV process rather than initial formation conditions. Besides adding to the field of management education and research, the study is intended to provide practical insights for JV management as many of the JVs in developing nations, particularly South Asian countries, reach maturity.

Employee Loyalty and Performance of Taiwan's Semiconductor Industry: Analysis of TSMC's Business Alliance

Taiwan's semiconductor industry plays a critical role in the global economy with its technological innovation, efficient manufacturing, and market leadership, profoundly shaping the global semiconductor landscape. It explores whether there is a positive correlation between employee loyalty and corporate performance and further examines if the parent-subsidiary relationship or business alliance with TSMC or UMC influences the relationship between employee loyalty and corporate performance. The study compiles data from Taiwan’s semiconductor industry, with the upstream comprising IP design and IC design, the midstream including IC manufacturing, wafer fabrication, related testing equipment, reticle masks, and chemicals, and the downstream covering IC packaging and testing, IC modules, and IC distribution. Data from 2005 to 2020, comprising 1015 valid data, were used. Correlation and regression analyses were conducted to observe the relationship between employee loyalty and corporate performance. The study aims to deeply investigate the impact of employee loyalty on the performance of Taiwanese semiconductor companies, especially considering the scenarios of consortium and business alliance cooperation. Through literature review and empirical analysis, the study assesses how employee loyalty affects the performance indicators of semiconductor companies and explores the moderating role of consortium and business alliance cooperation in this impact. By delving into employee loyalty in Taiwan’s semiconductor sector, this study aims to provide practical recommendations for human resource management strategies and consortium cooperation decisions to promote the sustainable development of Taiwanese semiconductor companies. The findings reveal a negative correlation between the average seniority and turnover rate of employees and performance variables, while employee growth rate shows a positive correlation in upstream and midstream companies but a negative correlation overall. The results vary slightly across the upstream, midstream, and downstream sectors. In terms of business alliance effects, companies with business ties to TSMC exhibit a moderating effect on the relationship between employee loyalty and performance variables.

Digital technology innovation and corporate resilience

This study identifies over 220,000 digital invention patent applications for digital invention and creates an index of enterprise-level digital technology innovations. Using an empirical analysis based on a two-way fixed-effects model, this study examines the impact of digital technology innovation on enterprise resilience. Results show that digital technology innovations improve enterprise resilience. This improvement is mainly achieved by reducing internal and external information asymmetry, reducing operating costs, improving management levels and operational efficiency, and increasing market profitability and sustainable earning capacity. Moreover, this study extracted all announcements containing phrases such as “strategic alliance,” “strategic co-operation,” and “business alliance” from 3.208 million announcements on the JUCHAO website and further filtered them to select those strategic alliances in digital technology as their content of collaboration and identified them as digital technology strategic alliances. The findings show that companies that join digital technology strategic alliances have a greater impact on improving enterprise resilience. Furthermore, this study found that digital technology innovation can significantly improve the enterprise resilience with better network infrastructure and a more comprehensive intellectual property protection system. This study expands the research scope of the microlevel effects of the digital economy and provides valuable insights for governments to optimize digital economy policies and enterprises to develop digital innovation strategies.

DYNAMIC CAPABILITIES AS A SUCCESS-FACTOR OF THE LONG-TERM BUSINESS ALLIANCE: THE CASE OF SIEMENS AND ATOS

Strategic alliances offer numerous benefits, including access to new markets, shared resources, and enhanced capabilities, which collectively contribute to a firm’s competitive edge. However, maintaining these partnerships over time remains a challenge due to the dynamic nature of collaborative relationships. The article is devoted to the analysis of dynamic capabilities of partnership and its role in the long-term development of the business alliance between Siemens and Atos. The specificity of dynamic capabilities is identified, namely the characteristics of "sensing," "seizing," and "reconfiguring" capabilities at the stages of partnership development between Siemens and Atos. Three stages of development of dynamic capabilities of the business alliance between Siemens and Atos are defined: the founding stage (2011-2014), the expansion stage (2015-2020), and the current stage (2021-2025). The founding stage involved mutual investments and the adoption of performance programs to enhance operational efficiency. The expansion stage saw the alliance focusing on Industry 4.0, cybersecurity, and digital strategy, with increased funding and expanded scope. The current stage emphasizes sustainability and advanced technologies like quantum computing and blockchain, along with joint initiatives and participation in research programs. It is found that over the decade of collaboration, the alliance has demonstrated the ability to adapt and evolve according to market and technological changes, based on the abilities of both partners to identify new opportunities, analyze market trends, and accordingly transform the alliance's business model. Thus continuous adaptation, investment in dynamic capabilities, and cooperative efforts with external partners are vital for maintaining mutually beneficial partnerships. The Siemens-Atos alliance serves as a case study illustrating how these capabilities can be effectively leveraged to achieve sustained success in a dynamic business environment.

Prerequisites for the formation of business alliances among agricultural exporters in Ukraine under martial law

This article explores the state and structural trends of the grain and oilseed market under martial law in Ukraine, focusing on the prerequisites for the formation of business alliances. In scientific literature, business alliances are often seen as strategies for achieving competitive advantages in globalized markets by pooling the resources and competencies of independent companies. However, the formation and functioning of business alliances in countering extreme business conditions remain underexplored. This study aims to summarize the prerequisites, factors, and potential benefits of forming business alliances among agricultural exporters. Despite the negative impact of war, Ukrainian agribusiness has demonstrated resilience and adaptability by maintaining a leading position in exports. The analysis of exporter ratings has shown significant changes in the distribution of market shares during the first two years of the war, indicating shifts in the market roles traditionally played by participants. Interviews with the CEOs of leading agricultural holdings in Ukraine outlined the main tactical and strategic decisions taken to mitigate the challenges of the war. Partnerships among independent agricultural producers have been widely used to respond to challenges such as closed export markets, finding new export routes, and achieving the necessary scale for export operations. Systematizing this experience could be of scientific and practical interest, particularly in the context of ongoing events in Ukraine. Effective communication and alliances among participants in the grain market may help address critical tasks such as creating competitive advantages in global grain trade, reducing costs for external and internal logistics, jointly using logistics infrastructure, and investing in capital-intensive projects to develop export infrastructure, especially under increased risk conditions.

Role of Cartels in Market Manipulation: Case Studies and Impacts on Consumers

This article provides an overview of how cartels manipulates the market and what are the problems that are being faced by the consumers. Cartels are said to be formed when two or more business enterprises makes an agreement formally or informally to promote their own interest which distorts the free and fair competition in the market by controlling the prices of goods and services. When it comes to the enforcement of anti trust law in India there are certain core areas in the Competition Act, 2002. The Competition Act increases the possibility of dealing successfully with the cartels and any anti- competitive agreement. Although, Competition Commission of India needs further strengthening with the operational and functional guidelines for its activities. The paper begins with an introduction to a cartel after that the authors explores about the origin of the cartels and types of cartels. It is also very important for us to understand a cartel so a chapter is being dedicated to it. The study also highlights the affects of cartelization in the market and an analysis of Competition Act, 2002. Furthermore, we’ve attached few renowned case studies. In conclusion to this paper we have understood that cartel is a very dangerous phenomenon in the business alliance and how CCI has brought a drastic change in last few years in the market

Research on Business Value Development Methods of Top Sports Athletes - A Case Analysis of NBA Players

With the development of sports, the commercialization model of players is becoming more and more mature. The rise of commercialization has become a prominent trend in the field of contemporary sports, which has a far-reaching impact on athletes and the wider sports industry. Commercial development has a significant impact, not only expanding the sports audience, but also reshaping the role of athletes and the financial structure of the sports sector. This paper studies the means of commercial value development of top sports players, based on the case analysis of NBA players, using case analysis method, literature review method and other methods, taking the famous NBA star Curry, the spokesman of Under Armour, and the basketball legend Jordan as examples, to explore the commercial value of top players behind them. Through the study of the means of personal brand building and maintenance, social media marketing and fan interaction, sponsorship and endorsement, the economic principles behind it and the operation mode of NBA business alliance are summarized, and the conclusion is drawn.

ЕКОСИСТЕМНИЙ ПІДХІД В ПРОЦЕСІ ФОРМУВАННЯ ІННОВАЦІЙНИХ БІЗНЕС-МОДЕЛЕЙ

The article systematizes theoretical approaches to the concept of “ecosystem”, including business ecosystem, economic ecosystem, innovation ecosystem, entrepreneurial ecosystem, industrial ecosystem. The article also considers the prerequisites and retrospective evolution of the transition to the work format according to the principle of ecosystems when companies build their business models. The authors proposed the definition of the ecosystem of innovative development of the industrial sector as a set of interacting business entities (real sector, business), authorities, public organizations, scientific and educational organizations, which realize the implementation of joint functional tasks based on the joint use of the resource potential of all participants (actors) in order to achieve a synergistic effect. The component composition of the ecosystem of innovative development of enterprises is proposed. Differentiation of the benefits of the participants from the application of the ecosystem approach (economic, social, institutional, infrastructural) is provided. The concept of the innovation ecosystem was studied for the analysis of dynamic open environments, which include organizations, individuals and institutions that interact in the formation, use and dissemination of innovations. The key components of innovative ecosystems are defined and their interaction is highlighted. The importance of using information and digital platforms to optimize business processes in the ecosystem is emphasized. The characteristics that are typical for innovation ecosystems and modern innovation processes are highlighted. An algorithm for the introduction of an ecosystem approach to the model of innovative development of the industrial sector has been developed. Significant attention is paid to defining the differences between digital ecosystems and traditional business alliances. The risks arising during the transition of work to this business format, as well as prospects, are considered in detail development and society’s readiness to work in ecosystems on the basis of accumulated customer service experience.

Legal Aspects in Business Alliances and Strategic Partnerships Between Airlines

The research explores the role of law in governing business alliances and strategic partnerships in the aviation industry, analyses its legal framework, its business implications, and provides policy recommendations. Qualitative methods are used by summarizing findings from several international scientific journals. The findings highlight legal aspects such as antitrust regulation, consumer protection, and liability towards employees. The importance of regulatory compliance for safe and fair operations is highlighted, as well as periodic reviews of legal responses. By strengthening understanding and implementation of legal aspects, the aviation industry can better address future challenges and safeguard the interests of stakeholders.

Government-Funded Development of Innovative Physical Technologies for Sustainable Agriculture and Food Production in Rural Germany through a University–Business Alliance Formation

Purpose: The alliance project “Physics for Food” aims to invent new physical technologies for sustainable agriculture and food production in Mecklenburg-Western Pomerania, an agrarian region in northern Germany. This article may serve as an example of good practice for regional collaboration and funding acquisition between academia and the industry, especially SMEs, that may be replicated in other rural contexts. Approach: The project consortium consists of a triple-helix setting of scientists from university and research institutes as well as technology suppliers, seed producers, and farmers. The German Federal Ministry of Education and Research (BMBF) funds the project in a special program called “WIR!” that addresses innovation and structural transformation of lagging regions in Germany. Findings: The program encourages development of regional innovation concepts and supports confederations that cross disciplinary, industrial, institutional, and administrative boundaries and thrive on civic involvement. Today already, there is huge potential and an increasing demand for the development and the supply of novel non-chemical alternatives in plant and storage protection in agriculture and food production. Originality: The project aims to lay the foundation for startup companies based in the region to act as innovative technology providers and to create jobs in the region while making the new technologies available nationally and internationally. The application of physical methods will decrease costs, conserve resources, and eventually contribute to protecting the environment.

Ancestral connections and corporate alliances

This paper studies how culture works as an implicit incentive alignment mechanism in corporate alliances. We measure the ancestral connection between different corporate headquarters places, using historical immigration from different countries to different areas of the U. S. When forming business alliances, the ancestral composition of the area where firms locate plays an important role in their choices of partners and the location of new ventures. Exploiting immigration to U.S. cities induced by WWI and the immigration acts of the 1920s, we find that ancestral connection driven by the supply-push component of historical immigrant inflows is associated with an increase in alliance intensity today. Finally, partnering firms experience significantly better performance when the ancestral connection between their headquarters or between their inventors is stronger. Shared values and beliefs between firms' key stakeholders likely underlie the role of ancestral connection.

The temptation of Russian Pharma. Report II: The implementation of the program of additional medicinal support

The second article in series of publications considering history of implementation of the government program of additional medication support from point of view of conditions of development of pharmaceutical market in Russia. The study is carried out on the basis both of interviews of participants of pharmaceutical market and state administrators and publications in specialized editions in 2020-2022. The first experience of close interaction of pharmaceutical business with government in implementation of social policy is analyzed. The focus is made on failures in practical implementation of the program of additional medication support, in which course alliance of government and pharmaceutical business cracked.

Recent Advances in Vaccine Technology for Viral Infection Management: A Spotlight on Next-Generation Vaccines and Nucleic Acid-Based Platforms

Recent advances in vaccine technology and their uses in viral infection management were the focus of the study. Potential nucleic acid-based platforms for vaccine development, including DNA and RNA vaccines, were also investigated. During the COVID-19 pandemic, a lot of attention was paid to RNA-based vaccinations like mRNA vaccines because of their rapid development and scalability. These vaccines were shown to be effective at eliciting protective immune responses and provided the adaptability to include multiple antigenic sites. Preclinical and clinical research of this magnitude is required for the development and assessment of these innovative vaccine methods. Immunogenicity, side effects, and efficacy were all taken into account. The study highlighted the need for more investigation and cooperation between researchers, physicians, and business allies to speed up the process of turning these novel vaccine strategies into successful therapies against different types of viral infections. Our study demonstrated the potential of viral vectors, nanoparticles, and nucleic acid-based platforms in developing vaccine technology, and it contributes important insights into the design and evaluation of innovative vaccine tactics against viral diseases. These results add to the existing body of knowledge and may help direct future antiviral research and development. Keywords: Vaccine development, Viruses, DNA Vaccines, RNA Vaccines, COVID-19 Vaccines

The effect of corruption level in steering the business–government relations: evidence from 23 African countries

PurposeThe purpose of this paper is to investigate the effect of corruption level in steering the business–government relations (BGRs) in developing countries. It also examines the moderating effect of firm size.Design/methodology/approachUsing robust tobit and probit models, this study tests the response behavior of 9787 firms from 23 African countries to their government's policy and regulations and the direct effect of corruption control level in their response decisions. The authors also perform several other additional analyses to ensure the robustness of the findings, including change analysis, two-stage model and recursive bivariate model.FindingsThe result shows that corruption level is among the significant factors that drive BGRs exponentially. The finding points out that, there is a strong alliance of business and government in more corrupt countries. Moreover, the impact of corruption level exacerbates when the firm is bigger.Research limitations/implicationsManagers should focus more on activities that create long-term sustainable advantage. Valuable time of the senior managers should not waste on negotiating government policies to earn a short term advantages.Practical implicationsIt is evident that legal and transparent government alliances can lead to economic rent for firms. However, it is important to note that any alliance based on corruption and illegality is short-lived and ultimately detrimental to long-term prosperity. Therefore, it is crucial for firms to prioritize ethical business practices and build relationships with governments that prioritize transparency and accountability.Social implicationsGiven the detrimental impact of corruption on economic progress, it is crucial for Africa policy-makers to prioritize reforms aimed at reducing its adverse effect. By implementing ethical and transparent business practices, countries can attract more investment and promote economic growth.Originality/valueThis study contributes to the existing literature on the passive form of political connectivity/activity and to what extend corruption level affect the political activities of firms.

Analysis of Factors Influencing the Success of Funding in Equity Crowdfunding Registered in the Financial Services Authority in Indonesia

This study aims to determine and test the effect of intellectual capital signals and the level of uncertainty on the success of funding on equity crowdfunding platforms that are officially registered with the financial services authorities in Indonesia. The population of this study is prospectuses for open offers made by MSMEs on equity crowdfunding platforms in Indonesia in 2019 – 2021, with a total of 147 prospectus observation data. The sampling technique used is purposive sampling, which is a sampling technique with specific criteria. Multiple regression analysis is the method to test the hypothesis. This study argues that intellectual capital and the uncertainty presented in an open offer in equity crowdfunding can be perceived by novice investors or crowd funders as a signal of business quality and encourages them to invest and meet funding targets by exploiting the role of signalling theory in reducing information asymmetry. The study results show that only business alliances indicate intellectual capital, and financial projections indicate the level of uncertainty that has a positive and significant effect on the number of funds that indicate successful funding. Meanwhile, business experience and product innovation, indicators of intellectual capital, and date debt, indicators of uncertainty, have no significant effect. Based on these findings, the success of equity crowdfunding, officially registered in Indonesia, is influenced by business alliances and financial projections. This research provides valid implications for entrepreneurs, platform managers, and policymakers/authorities. Keywords: funding success, equity crowdfunding, intellectual capital, level of uncertainty

Understanding and exploring the value co-creation of cloud computing innovation using resource based value theory: An interpretive case study

Research on the intrinsic mechanisms of how cloud computing ecosystems may enable value co-creation within business alliances and partnerships and their underlying mechanisms are scarce. Having identified this gap in the extant literature, and acknowledging that cloud computing is still taking off, our study seeks to explore and develop an understanding of the underlying mechanisms of value co-creation within business alliances of cloud computing providers and third-party enterprises. This study is informed by the Resource Based View (RBV)Theory and four layers of value co-creation to build on a qualitative case study using the interpretivist epistemological stance. In this study we illustrate how knowledge is shared between two firms and unpack the value co-creation process for the design and delivery of innovative cloud services. In terms of the RBV, it was discovered that reputation as a resource is valuable because it offers the smaller firms with the assets of global reach and a large partner network, which eventually may support in building its competitive advantage. For the larger organization the alliance offered the ability to provide clients with an innovation without additional facilities, and personnel.

Industrial Procurement Management Efficiency Guidelines: Perform Excellence Through Organisational Change Strategies

Purpose: The objective of this research was to use structural equation modelling to illustrate guidelines for enhancing procurement management efficiency in the industrial business sectors. Theoretical framework: The conceptual framework was developed based on relevant studies and incorporated elements from procurement excellence models established by renowned organisations, including McKinsey’s successful procurement operating model (2018), BCG’s five pillars of procurement excellence (2019), and PwC’s operating procurement model (2019). Design/methodology/approach: This study utilised a mixed-methods approach, combining qualitative (in-depth interviews and focus group discussions) and quantitative (survey) research methods. The quantitative data was collected through a questionnaire consisting of four parts, which was administered to 500 executives from industrial businesses. The data was analysed using descriptive, inferential, and multivariate statistical techniques. Findings: The guidelines thoroughly examined four key elements: organisational change, technology management, internal control process, and business alliance networks - influencing procurement management efficiency in Thailand. This analysis used confirmatory factor analysis, second-order confirmatory factor analysis, and structural equation modelling. After modification, the final model included 23 observed variables under six hypotheses and was evaluated using congruence evaluation criteria to ensure its effectiveness. Research, Practical & Social implications: The researchers suggested that future studies focus on the specific characteristics of each industrial type, such as the automobile sector, food and beverage industry, or emerging S-curve and new S-curve segments. The future research results would allow for a more in-depth analysis of the unique factors that impact procurement management efficiency within each industry. Originality/value: The findings suggest that the developed models can serve as valuable guidelines for industrial businesses looking to improve their procurement management systems and implement effective strategies. By adopting these models, businesses may enhance their profitability and optimise their use of resources, thereby improving overall efficiency.

Guidelines for Competitive Advantage of Thai Software Industry

This research aims to study the guidelines for competitive advantage in the Thai software industry. For qualitative research, in-depth interviews were conducted with nine experts to create the tools used in the estimation research. A group discussion with 11 experts was conducted to obtain a consensus on the model of this research. Quantitative data were collected from a survey of 500 enterprises in the Thai software industry using descriptive, reference, and multiple statistics. The research provides guidelines for the Thai software industry's competitive advantage, comprising four elements. The essential items of each element are as follows:1) Marketing Strategies ( = 4.25) maintain customer confidentiality without disclosing or using data for any other benefit. 2) Business Sustainability ( = 4.24) builds trust and credibility in partner collaboration. 3) Internal Process ( = 4.23) analyzes current work processes to improve efficiency continuously. 4) The Business Alliance ( = 4.23) conducts business with integrity, transparency, and accountability. In addition, the hypothesis test showed that the difference in enterprise size revealed overall elements that were significantly different at the level of 0.05. The analysis of the developed structural equation model showed that it followed the empirical data and passed the evaluation criteria with chi-square probability level, relative chi-square, the goodness of fit index, and root mean square error of approximation of 0.262, 1.031, 0.928, and 0.008, respectively.

Managing the Knowledge Deficit in the German Automotive Industry

The combined effects of decarbonization and digitalization have had a significant impact on the German automotive industry, with different business models emerging that often involve new business alliances with other automotive companies and technology companies. This rapid and dramatic change momentum has resulted in a “knowledge deficit” in the industry, as regards the skills and know-how required to operate successfully in the digital economy. Using an inductive, qualitative research methodology, based on in-depth interviews with industry experts and practitioners, this article identifies the main areas in which skills, knowledge and competencies are lacking, and assesses the main ways in which the industry is trying to address the problem. A number of emergent issues are also discussed. The article finds that many years of technology outsourcing have left the industry deficient in core technology skills for software development, data management and architecture design, and that new competencies in cybersecurity, platforms and ecosystems, and sourcing management are also urgently needed. The industry is addressing this challenge through a combination of strategies, including major partnership arrangements with the big tech companies. The article concludes that entrepreneurial innovation and radical digital leadership will be required to adequately address the knowledge deficit in the digital era.