An alliance is an effective strategy for knowledge-intensive businesses in competition. Yet, little is known about how strategic alliances work within small firms in the telecommunications industry, which plays an essential part in the COVID-19 pandemic infrastructure. The purpose of this article is to examine the impact of strategic alliance on firm performance among small entrepreneurial firms (SEFs) in the telecommunications industry. The study uses structural equation modeling to analyze primary data obtained from a sample of 74 small entrepreneurial firms in the telecommunications sector. We find that strategic alliances significantly and positively impact partners' performance in terms of financial, operational, and organizational effectiveness among small entrepreneurial firms in the telecommunication sector. Drawing on the findings, we recommend small entrepreneurial firms pay particular attention to pre-alliance and post-alliance issues, including partner similarity, alliance experience, partner' reputation, complementary skills, industry scope, commitment to improving trust and skill, and collaboration to boost performance. In addition, based on the results of this study, we discuss research implications for challenges of telecommunications SEFs in the time of the COVID-19 pandemic crisis.
Today's rapidly changing business environment has impelled companies to cooperate with their competitors in order to gain more competitive advantages through a win-win situation. Thereby, building alliances is one of the cooperative strategies that have been adopted by many enterprises, consequently attracting great attention from scholars. However, the literature about alliances seems to lack studies in the domain of entrepreneurship. Accordingly, this paper aims to extend entrepreneurship into the field of alliances by highlighting two phenomenal concepts: alliance entrepreneurship, and entrepreneurial orientation. Hence, the relationship between these two constructs, together with the mediating role of knowledge transfer between alliance partners, is investigated. Employing the Partial Least Squares Structural Equation Modeling (PLS-SEM) technique we analyze a set of data from the automotive industry and its sub-sectors. The results confirm the significant positive effect of alliance entrepreneurship on partners' entrepreneurial orientation, as well as the mediating effect of knowledge transfer.
Abstrak: Perubahan lingkungan bisnis masa kini telah mendorong perusahaan untuk bekerja sama dengan kompetitor
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