The growth of alliances in the knowledge-based economy

F. J. Contractor and P. Lorange

International Business Review, 2002, vol. 11, issue 4, 485-502

Abstract: The prime objective of this article is to identify the environmental and regulatory conditions which have fostered the rapid growth of alliances. By "alliance" we include all cooperative arrangements -- from "relational contracting" to equity joint ventures. Far from a transient fad, or slowing down, as some observers predicted, the rate of alliance formation may even be picking up in an economy based on ideas rather than material objects. An economy of objects emphasizes mass production, internalized ownership, control and vertical integration. An economy based on knowledge favors customization, flexibility, rapid response and dis-internalization or deconstruction of the value chain. This article shows how this trend favors alliances, as different pieces of the value chain under different ownership may increasingly cooperate with each other. The article traces the role of information technology and the underlying regulatory, economic and competitive conditions that are fostering the creation of alliances.

Date: 2002
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (55)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0969593102000215
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:iburev:v:11:y:2002:i:4:p:485-502

Ordering information: This journal article can be ordered from
http://www.elsevier.com/wps/find/journaldescription.cws_home/133/bibliographic
http://www.elsevier. ... me/133/bibliographic

Access Statistics for this article

International Business Review is currently edited by P. Ghauri

More articles in International Business Review from Elsevier
Bibliographic data for series maintained by Catherine Liu ().