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Author: | Duysters, G. Man, A-P. de |
Title: | Transitory alliances: An instrument for surviving turbulent industries? |
Journal: | R. and D. Management
2003 : JAN, VOL. 33:1, p. 49-58 |
Index terms: | Alliances Organizational behaviour Organizational change Strategic planning High technology Industries R&D |
Language: | eng |
Abstract: | Over the past decades, firms have constantly struggled to deal effectively with their rapidly changing environment. Especially in high tech industries, costs of R&D have rocketed, whereas steep learning curves and ever shortening product and technology life cycles have reduced the time to recoup these costs. Under such conditions of turbulence, a new form of alliances becomes an important part of the innovator's toolkit: transitory alliances. Transitory alliances can be defined as short-lived alliances that focus on completing narrowly defined tasks in a very short time frame. Companies can no longer rely exclusively on their traditional alliance and M&A practices to survive industry turbulence. Furthermore, transitory alliances can be a wellspring of innovation and provide companies with access to a portfolio of new ideas etc. The specific characteristics of this alliance type are discussed in this paper. Typical examples are taken from Internet related sectors. |
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