This paper considers the strategic motivation for international alliance formation for a sample of UK firms with partners in western Europe, the United States and Japan. the relative importance of a set of strategic motives is identified and related to extant theory. A parsimonious set of strategic motives for the sample studied is provided by means of factor analysis. the paper identifies the main strategic motives for alliance formation by UK firms as intrinsically linked to the market and geographical expansion of the firm and that the main strategic motives are underpinned by the theories of strategic positioning and organizational learning. This study also finds that some of the often suggested motives for alliance formation found in the literature, in particular aspects of risk reduction associated with new projects, appear not to be particularly important motivating factors. Hypotheses are tested on the relationship between the relative importance of individual strategic motives and a number of characteristics of the sample - contractual form of the alliance, relative partner size, primary geographical location of the venture, industry of the alliance and partner nationality. Implications of the findings for future theorizing on alliances and their motives is identified. Copyright 1996 Basil Blackwell Ltd.
This paper reports the findings of two experimental investigations into the efficacy of a causal cognitive mapping procedure as a means for overcoming cognitive biases arising from the framing of strategic decision problems. In Study 1, final year management studies undergraduate students were presented with an elaborated strategic decision scenario, under one of four experimental conditions: positively vs. negatively framed decision scenarios, with prechoice vs. postchoice mapping task orders (i.e., participants were required to engage in cognitive mapping before or after making a decision). As predicted, participants in the postchoice mapping conditions succumbed to the framing bias whereas those in the prechoice mapping conditions did not. Study 2 replicated and extended these findings in a field setting, on a sample of senior managers, using a decision scenario that closely mirrored a strategic dilemma currently facing their organization. Taken together, the findings of these studies indicate that the framing bias is likely to be an important factor in strategic decision making, and suggest that cognitive mapping provides an effective means of limiting the damage accruing from this bias. Copyright © 1999 John Wiley & Sons, Ltd.
The current understanding of when and how knowledge transfer leads to cross-border acquisition (CBA) success is still limited. The aims of the paper are to provide new insights into the factors that facilitate or impede knowledge transfer, and to examine the impact of knowledge transfer on CBA performance. The data were gathered via a cross-sectional survey using a questionnaire on a sample of UK firms that had acquired North American and European firms. The findings indicate that knowledge transfer and employee retention have positive influence on CBA performance. In addition, organizational culture differences have a negative influence on CBA performance, but also mediate the relationship between knowledge transfer and CBA performance. No direct or mediating effect of national cultural distance has been found on knowledge transfer and CBA performance. One of the important contributions of the present paper is the development of a conceptual framework incorporating the mediating effect of national cultural distance, organizational culture differences, and employee retention on knowledge transfer and acquisition performance. Moreover, we have tested the two distinct types of knowledge transfer namely knowledge transfer in the functional area and knowledge transfer in the general management area, thus making a contribution to the existing literature on knowledge transfer in CBAs.
This paper examines empirically the determinants of offshore location choice between country clusters. Based on a dataset of 1722 R&D projects by MNEs located in developed and emerging countries, we examine the impact of home and host country, industry, and firm level variables on choice of location. We draw on the extended OLI paradigm to develop our hypotheses. Using the EU15 as a base group, a multinomial logit model is estimated between the regions of USA&Canada, Eastern Europe&Russia, emerging countries of Asia, and India&China. At the regional level, findings show that the R&D wage difference and knowledge infrastructure difference between home and host countries, the science and engineering talent pool size, and political risk level of host countries are important determining factors. At the firm level, experience of overseas R&D projects and prior experience of research in the host country are found to be important location determinants. A distinguishing feature of the paper is that we examine regions in relation to a base region, and then further examine the impact of a marginal change in independent variables on the likelihood of the choice of a region for new offshore R&D projects. Copyright (c) 2010 The Authors. Journal of Management Studies (c) 2010 Blackwell Publishing Ltd and Society for the Advancement of Management Studies.
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