Venture Alliance Research Articles

Evaluation of Backfill Operation Models Using SBSC and IFAHP Approach

As the mine backfill is recognized as one promising technique for the sustainable development, it is crucial to explore the backfill operation mechanism for the mining industry. At present, the self-management and outsourcing model are generally selected to apply in backfill operation and management worldwide. The advantages are insufficient from the strategic and sustainable perspective. Therefore, the study proposes joint venture alliance and concerns the superiority on mine backfill management. In order to evaluate the models, this study puts forward the integrated method which involves combination of SBSC and IFAHP. A strategic and hierarchical framework of SBSC on the basis of sustainability is formulated, which includes 6 perspectives and 16 secondary indexes. Simultaneously, the IFAHP approach is used for determination of the weights of indexes and calculation of the final score, which enables to assess mine backfill operation activity more objectively. The results show that the self-management model provides little advantages whereas the outsourcing model is the better operation mechanism. By contrast, joint venture alliance is rated as the optimal backfill operation model of the mining industry. The research findings of this study would help the mining industry to evaluate objectively and make an appropriate decision on the backfill operation model in the mining industry.

КОРПОРАТИВНІ БІЗНЕС-МОДЕЛІ ВЕНЧУРНОГО ФІНАНСУВАННЯ: СУЧАСНІ МЕХАНІЗМИ

The article is devoted to the concept of corporate venture, which is based on the key methodological basis that the sources of innovation are formed both within and outside companies in the format of external ventures. They are founded by one or more companies on a share basis and take the form of organizational, economic and institutional forms of complex integration and cooperation structures and research consortia formed between autonomous and independent economic entities. Thus, one of the examples is strategic venture alliances, as one of the main institutional forms of external corporate venture. Next, we consider joint ventures created with the participation of donors and recipients of venture capital by establishing new legal entities or registration of the venture fund's participation in the share capital of high-tech companies. The advanced dynamics of techno-globalization processes against the background of unprecedented complication of the international business environment and the intensification of inter-firm competition for the most technologically breakthrough innovative developments raise the issue of mergers and acquisitions. Another organizational form of implementing external corporate venture mechanisms is the participation of companies in innovation clusters. There is also a rapid dynamization of cooperation of corporate venture funds with leading universities, research institutes, centers and laboratories. Therefore, it should be noted that external corporate venture is actively developing today in the general course of objective laws, patterns and trends of the global venture industry, demonstrating the high risks of venture investment, the predominant focus of BNP on innovation cooperation. This provides not only a significant increase in the economic efficiency of corporate R&D and expansion of existing innovation opportunities and sectoral-sectoral "space" of corporate business, but also the formation of its global "cognitive framework" as a full understanding of the nature and vector orientation of global market and technology transformations.

Kinerja Keuangan Perusahaan Asuransi Jiwa Konvensional di Indonesia Periode 2015-2018

This research aims to analyze the effect of financial indicator such as premium income, investment returns, volume of capital, loss ratio, operating expenses and risk based capital on the profitability (ROA) of conventional life insurance companies during the first quarter of 2015 until the third quarter of 2018. This research uses premium income, investment returns, volume of capital, loss ratio, operating expenses and risk based capital as independent variables and the dependent variable is Return On Assets, and joint venture alliance strategies as a control variable. The population of data is conventional life insurance companies in Indonesia during 2015 until 2018. This research used a purposive sampling technique, it was found that 14 companies met the sample criteria. The analysis model uses regression analysis. The research results show that premium income has a positive significant effect on ROA, the volume of capital has a positive significant effect on ROA and operating expenses have a negative significant effect on ROA. While investment returns, loss ratios and risk based capital, and joint venture alliance strategies do not have a significant effect on ROA. Meanwhile, a joint venture alliance strategies are not significant in influencing the relationship of independent variables to ROA. Further research is recommended to conduct a different test of the financial performance of insurance companies, national life insurance companies and joint venture life insurance companies.

Construction Project in Kuwait International Airport Cargo City: Issue of Conflict Management

Conflict in construction projects seems to be the reasons of high project cost, project delays, lower productivity, loss of profit, damage business relationships and dispute on the team. Effective functioning requires commitment of at least several key personnel to get the venture runs effectively even with the presence of distinctive intrigue. When individuals of fluctuating foundation meet-up on a task group, strife is unquestionably present there. As the individuals inside the venture alliance are interrelated, intrigue impacts and clashes are not uncommon within their activities. This study therefore sought to discover the causes of these conflicts in the construction sector and the manner by which these conflicts can be effectively resolved. Here a quantitative survey-type study has been carried out on construction project in Kuwait international airport for conflict management. One hundred eighty eight questionnaires have been distributed, fourteen of them have been lost and eleven of them have not been answered. The responses of 163 participants have been analyzed with the Statistical Package for Social Scientists (SPSS). This study showed that the general causes of conflict are predominantly create conflicts. Inadequate communication and contradicting instructions according to the results are the leading causes of conflict. The effects of conflict on project mainly include project delays, ineffective construction and reduced productivity, etc. The findings revealed that participants in the study prefer the role of collaborating and compromising styles in solving conflict of on-site construction. Every project starts and ends with communication, so communication is the life wire of all construction projects. To cure the communication problem, the study suggests strategies like Team Meeting Discussions, Site Review Meetings, and Project Status Reporting platform to manage the conflict and reduce the dispute of construction projects.

Casting Shadows: Impact Of Parent-Spinout Knowledge Distance On New Venture Alliances

This paper examines how prior founder affiliation contributes to the formation of network ties of new ventures founded by employee entrepreneurs. Prior research on employee entrepreneurship has attributed the success of new ventures founded by employees (spinouts) to inheritance of knowledge from founders’ previous employer (parent). However, studies on new venture alliance suggest that the success of new firms stems from establishing strategic alliances with other firms. I bridge the gap between these two literatures by examining how the knowledge accumulated by the founder of the spinout influence their alliance partner choice, using a data of pharmaceutical and medical device firms from 1986 to 2012. The findings suggest that the spinouts that are similar to their parent are likely to form ties with firms outside their parent network. While, spinouts that are not similar to their parent are more likely to form ties with firms within the parent network. These spinouts that prefer partners from their parent network, are more likely to form ties with firms that have indirect ties to the parent firms.

Supplier Referrals and Closure of Embedded Multiplex Triads

This paper expands on a recently developed concept of a 'multiplex triad' and examines how such triad's embeddedness within the broader social context affects its closure. Specifically, we explore the role of prior collaborations between customers on the probability that one customer (referrer) recommends a supplier to another customer (referee) and that this supplier forms ties with another supplier already serving the referee. This will result in the closure of a multiplex triad involving the referee and these two suppliers. We predict that the number of referrer-referee joint ventures has positive effect on this dynamic, while the number of their non joint venture alliances has U-shaped effect, which in turn is negatively moderated by the strength of relationships between the referrer and its supplier.

Effects of alliances, time, and network cohesion on the initiation of foreign sales by new ventures

AbstractIn this study, we seek to advance the network perspective on new venture internationalization by examining the role of networks in accelerating new venture sales into foreign markets. We propose that knowledge derived from ventures' technology and marketing alliances increases the likelihood that new ventures begin exploiting opportunities in international markets. We also argue that the extent to which the networks open the venture to new knowledge or constrain it to knowledge already shared among the partners will influence the initiation of foreign sales by a venture. Using a longitudinal dataset of 118 ventures in the U.S. biotechnology industry, we confirm that different types of alliances (and, therefore, different types of knowledge—technology and marketing knowledge) differentially impact the likelihood of new venture internationalization. Moreover, network cohesion among venture alliances increases the likelihood that marketing alliances will promote initial foreign market sales, but decreases the likelihood that technology alliances will do so. Our research is a timely response to a call for the study of interactive effects among network structure, complex tasks, and time, and it provides a possible explanation for certain unexpected findings in studies that did not consider the effects of time. Copyright © 2010 John Wiley & Sons, Ltd.

Motivation, achievements and failure of strategic alliances

PurposeA large number of industrial manufacturers are forming various types of alliances in a bid to improve their competitive position. The number of strategic alliances has almost doubled in the past ten years and is expected to increase even more in the future. However, while many organisations often rush to jump on the bandwagon of strategic alliances, few succeed. The failure rate of strategic alliances is projected to be as high as 70 percent. Interestingly, marriage relationships are found to have similar failure rate. In spite of the high failure rate of strategic alliances, very little is known about the potential failure factors and their possible correlation with alliance motivation and objectives. This paper aims to examine the importance that industrial manufacturers place on various motives for alliance formation and the potential reasons for alliance failure.Design/methodology/approachThis is in the form of a case‐ and survey‐based study of two large Swedish auto‐manufacturers in Russia.FindingsThe study demonstrates that strategic and managerial motivations are more important than financial and technological motivations, and that a strategic alliance (joint venture) strategy is better rewarded but riskier than a go‐it alone strategy in Russia.Originality/valueSurprisingly, the results do not show strong support that a go‐it‐alone strategy is less desirable than a joint venture alliance.

Alliance type, alliance experience and alliance management capability in high-technology ventures

We investigate a high-technology venture's alliance management capability. Thus, we develop a model that links differential demands of alliance type and the benefits of alliance experience to an observable outcome from a firm's alliance management capability. We test our model on a sample of 2226 R&D alliances entered into by 325 global biotechnology firms. We find that alliance type and alliance experience moderate the relationship between a high-technology venture's R&D alliances and its new product development. These results provide empirical evidence for the existence of an alliance management capability and its heterogeneous distribution across firms.

BUSINESS POLICY AND STRATEGY Conference Symposia Abstracts.

Academy of Management Annual Meeting Proceedings includes abstracts of all papers and symposia presented at the annual conference, plus 6-page abridged versions of the “Best Papers” accepted for inclusion in the program (approximately 10%). Papers published in the Proceedings are abridged because presenting papers at their full length could preclude subsequent journal publication. Please contact the author(s) directly for the full papers. ArticlesBUSINESS POLICY AND STRATEGY Conference Symposia Abstracts.Published Online:13 Dec 2017https://doi.org/10.5465/ambpp.2004.13863637AboutSectionsPDF/EPUB ToolsDownload CitationsAdd to favoritesTrack Citations ShareShare onFacebookTwitterLinkedInRedditEmail AbstractThis section presents abstracts of several symposia on business policy and strategy including "Challenging Traditions in Strategy: Strategizing and Strategy as Practice--A Micro Perspective," organized by Paula Jarzabkowski, "Multiple Perspectives on New Venture Alliances", chaired by Manuela Hoehn-Weiss and "The Problem Solving Perspective and the Theory of the Firm," chaired by Jackson A. Nickerson.FiguresReferencesRelatedDetails Vol. 2004, No. 1 Permissions Metrics in the past 12 months History Published online 13 December 2017 Published in print 1 August 2004 InformationCopyright of Academy of Management Journal is the property of Academy of Management and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder’s express written permission. However, users may print, download, or email articles for individual use.KeywordsABSTRACTSSTRATEGIC planningINDUSTRIAL managementMANAGEMENT sciencePROBLEM solvingDownload PDF

Predicting Organizational Success within a Project-Based Joint Venture Alliance

Project-based joint ventures (a special type of alliance) are an often-used method to form competitive organizational structures in the global market; they allow participants to quickly assemble project-needed assets on a short-term basis without substantial investment. However, published discussions of joint ventures describe mixed success and focus on factors that affect the ventures after they are formed. This paper exposes factors, which may be observed at joint venture inception, that are predictive of organizational success within the joint venture. The survey research of U.S. architecture/engineering/construction (A/E/C) firms indicates that smaller partners in a joint venture experience more market growth and are more successful. Also, a firm with strength in legitimacy (client trust) is more likely to gain in short-term income but will likely suffer some long-term market loss in comparison to its less-legitimized partners. It is further concluded that culture match among partners plays a significant role in ensuring profitable joint venture returns.

Collaborative Culture and Stock Market Reaction to Alliance Announcements

This paper examines the impact of technological alliance announcements in a nonfavorable environment, using event study methodology that includes robust tests to allow heteroskedasticity across firms and over time. The study is based on Spanish data, and focuses on the fact that Spanish market conditions do not favor firms that are deciding whether to enter a technological alliance. The paper is extended to analyze different features of alliances. Results suggest no stock market reaction on the day of the announcement, and a negative reaction on the days that follow. Our results also show that the stock market exacts no penalty on joint venture alliances, alliances involving public entities, alliances between Spanish firms, or alliances between competitors. The common feature revealed in these subgroups is the pursuit of security, a phenomenon that is consistent with the study environment.

Exploration and exploitation alliances in biotechnology: a system of new product development

AbstractWe link the exploration–exploitation framework of organizational learning to a technology venture's strategic alliances and argue that the causal relationship between the venture's alliances and its new product development depends on the type of the alliance. In particular, we propose a product development path beginning with exploration alliances predicting products in development, which in turn predict exploitation alliances, and that concludes with exploitation alliances leading to products on the market. Moreover, we argue that this integrated product development path is moderated negatively by firm size. As a technology venture grows, it tends to withdraw from this product development path to discover, develop, and commercialize promising projects through vertical integration. We test our model on a sample of 325 biotechnology firms that entered 2565 alliances over a 25‐year period. We find broad support for the hypothesized product development system and the moderating effect of firm size. Copyright © 2004 John Wiley & Sons, Ltd.

Knowledge sharing in inter-organisational intelligence: R&D-based venture alliance community cases in Japan

It is important for corporate alliances not only to make up for lack of resources but also to share knowledge among members effectively. Based on previous studies by Nonaka (1990) and Matsuda (1990), we develop the concept of intelligence, to analyse the knowledge-sharing mechanism in an alliance community. Through some case studies and the results of questionnaires, this paper shows that inter-organisational intelligence is different from the individual organisational intelligence in creating business planning capability, which is related to the success of alliances. The paper also shows that inter-organisational intelligence is formed through two steps.

Cooperative Relations In International Joint Ventures

The complexity and competitiveness of global business is increasingly being managed by international strategic alliances. As a result, the two central tenets of market‐based‐capitalism, that competitive market forces ensure optimum innovation‐led growth and that individual firms can best accomplish this by competition rather than cooperation, are being re‐examined. These tenets directed management in an elaborate process of alliances control, which is now giving way to a system of control based on trust. The economic model explaining the formation of alliances and the research on joint venture alliances are discussed. This is followed by a discussion of trust and a process‐approach to trust development. Finally, a case methodology to examine evolving IJV relationships is proposed.