SOLVING THE COLLABORATIVE DILEMMA OF ALLIANCES: THE ROLE OF STRUCTURAL CONDITIONS

摘要

This paper investigates how partners manage the complex interdependence between cooperation and competition in alliances. Drawing from transaction cost and game theories, I identify various mechanisms that can be used to improve partner cooperation. Evidence from a survey of 55 Japanese-American alliances in the US confirms the impact of various structural factors on partner cooperation in alliances. The use of mutual hostages, tight control of one's own contribution to the alliance, longer time horizon, and reliance on future contribution from partners led to higher cooperation among partners, while the difficulties in evaluating partners' performance and the differences in partners' organizational cultures/management styles led to lower cooperation.