A Re-Examination of Corporate Strategic Alliances: New Market Responses

摘要: Introduction In a dynamic corporate environment, managerial actions change, and the market response to decisions evolves. A decade after seminal work of Chan, Kensinger, Keown, Martin (1997) Das, Sen, Sengupta (1998), use strategic alliance contracting associated appear have increased. Strategic alliances are contractual business agreements pool resources engage in new venture with or without an equity investment. Typically, has finite length partners performing specific tasks partner contributions area technology, product development, marketing, licensing, research, skills. Recent examples these include failed General Motors-Renault-Nisson successful Hewlett Packard-Cisco alliance. 2006 Motors engaged discussions Renault-Nissan hoping develop global automobile The were disbanded, however, when executives could not agree on financial structure. GM believed should compensate them significant investment, while that investment might prevent from successfully engaging future contracts alliances. contrasting example, May 2007 Packard announced two Cisco. Both aimed at fast-growing high performance computing intended accelerate growth. (2) arena is replete so many consultants serve this particular niche also grown developed. CIT one such example consulting firm serves partnering firms. (3) intent manuscript three-fold. First we examine magnitude activity conclude it increased since study period finance literature (1998) management literature. Second, question whether as measured by increases shareholder wealth. We conclude, consistent Dacin, Hitt, Levitas (1997), approximately 50 percent fail. Finally, factors may help differentiate activities beneficial shareholders those be. Theoretical Discussion Hypothesis Development Our initial hypothesis formation changed over time. Casual empiricism suggests hypotheses other present existing 2 based Duysters, Kok, Vaandrager (1999). It questions random nature success. results manuscripts suggest 3 postulates firms forming vertical realize significantly higher abnormal returns than horizontal competitive theory suggested Park Russo (1996) provides foundation for hypothesis. Their same three-digit SIC codes experience lower announcement day different codes. (4) 4 smaller larger (5) 5 technology firms' types This its empirical research (1998). …