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The Need for Scale as a Driver of Alliance Formation: Choosing between Collaborative and Autonomous Production

Bernard Garrette (), Xavier Castañer () and Pierre Dussauge ()
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Bernard Garrette: GREGH - Groupement de Recherche et d'Etudes en Gestion à HEC - HEC Paris - Ecole des Hautes Etudes Commerciales - CNRS - Centre National de la Recherche Scientifique
Xavier Castañer: GREGH - Groupement de Recherche et d'Etudes en Gestion à HEC - HEC Paris - Ecole des Hautes Etudes Commerciales - CNRS - Centre National de la Recherche Scientifique
Pierre Dussauge: GREGH - Groupement de Recherche et d'Etudes en Gestion à HEC - HEC Paris - Ecole des Hautes Etudes Commerciales - CNRS - Centre National de la Recherche Scientifique

Working Papers from HAL

Abstract: In this paper, we reconsider why firms choose to form horizontal alliances when launching a new product rather than to undertake such a project on their own. We observe that past work on alliance formation has focused on resource complementarity as the main driver for inter-firm collaboration and, on this basis, has identified firm characteristics that induce them to collaborate. We propose that scale-related motives are also a major driver of alliance formation and argue that firms forming scale alliances exhibit different profiles than those forming complementary alliances.

Keywords: alliance formation; autonomous production; collaborative production (search for similar items in EconPapers)
Date: 2005-12-01
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Published in 2005

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