Session 304

Alliances and Cooperation Processes

Track H

Date: Wednesday, November 9, 2011


Time: 08:00 – 09:15


Room: Sundial

Session Chair:

  • Dovev Lavie, Technion-Israel Institute of Technology

Title: Born Again? The Effect of Alliance Termination Experience on Alliance Re-formation and Firm Performance


  • Darcy Fudge Kamal, Chapman University

Abstract: This paper investigates the effect of alliance termination on alliance re-formation and firm performance. While the existing literature assumes an alliance forms after termination the same as its first formation, I treat termination as a beginning. I identify both the conditions, external and internal to the alliance under which the termination occurs, and the task and partnering routines firms can develop to re-form the alliance with the past partner. Specifically, I develop termination experience as a valuable capability for firm performance. I use an ideal longitudinal data set of alliances terminations and formations where partners co-own horses to sell at auction.

Title: Governing Bounds on Reliability: An Exploration of Failed Inter-Firm Commitments


  • Nathan Greidanus, University of Manitoba
  • Alain Verbeke, University of Calgary

Abstract: We assess the generative mechanisms underlying failed commitments to bridge the trust-opportunism debate found within Transaction Cost Economics (TCE). Our analysis of qualitative data from failed inter-firm commitments within the Canadian Petroleum industry suggests a number of mechanisms, including, but not limited to, opportunism, that underlie unfulfilled commitments. We capture these mechanisms within the envelope concept of Bounded Reliability. The data also highlight the importance of inter-firm governance mechanisms to reduce the bounds on one’s reliability to fulfill commitments.

Title: Role of Procedural Fairness in International Strategic Alliances: Evidence from the Frontlines


  • Subramanyam Raghunath, Indian Institute of Management - Bangalore
  • Hema Mohan, BMC Software

Abstract: This study applies justice theory and emphasizes how procedural fairness as perceived by boundary spanners in international strategic alliances influences cooperation outcomes. More specifically, we aimed to understand better whether procedural fairness or trust is the main reason behind the success of an alliance or if both play a pivotal role. The study based on response covering 710 non-equity alliances suggests that procedural fairness and interparty trust both play a significant role in the success of an alliance with procedural fairness taking precedence. This primarily indicates that if organizations are enacting fair procedure, then interparty trust will soon follow suit and people are ready to cooperate by investing resources, time and energy. Theoretical and Managerial implications arising from the findings are highlighted.

All Sessions in Track H...

Sun: 09:30 – 10:45
Session 325: Strategy Process and Practice Research in Perspective and Future Directions
Sun: 11:15 – 12:30
Session 326: Systems Perspective to Strategy Process Research
Sun: 13:45 – 15:00
Session 327: Strategy Process, Acquistion Process and Activity Sequences
Mon: 08:00 – 09:15
Session 238: Processes for Adaptation and Change
Session 244: TMT Traits, Characteristics and Roles
Mon: 11:00 – 12:15
Session 239: Risk, Uncertainty and Behavior
Mon: 13:30 – 14:45
Session 237: Dynamic Capabilities, Evolution and Change
Mon: 15:15 – 16:30
Session 242: Managerial Levels and Roles in Processes
Tue: 11:15 – 12:30
Session 241: Perspectives on Strategy Making and Planning
Tue: 14:15 – 15:30
Session 246: Processes of Resource Management
Tue: 16:00 – 17:15
Session 243: Understanding Decision Making Processes
Wed: 08:00 – 09:15
Session 304: Alliances and Cooperation Processes
Wed: 09:45 – 11:00
Session 240: Organizational Structures and Processes

Strategic Management Society