Week 9 - Collaborative Strategies 2 - How to make them work? Flashcards
How can ‘Game Theory’ be applied to Collaborative Strategies? + reference.
- Partner with another firm and slow down their learning of your resources whilst learning from them, then leave the alliance because firm understands other partner’s resources and do not need them anymore.
- Both firms slow the learning and don’t fully collaborate = slow and poorer quality gains.
- Both firms trust each other and develop synergies and make larger gains together.
(Robert 2019).
What are 2 contrasting viewpoints on alliance management? + references.
- “Long-term success is dictated by the structure of the partnership, not the warmth of the relationship” (Gyenes).
- “An alliance won’t develop fully if I try to get the best of you and you of me - or in which pass on as much risk as you can to the other guy” (Brown).
How to structure a collaborative strategy? + references.
- Develop clear, common objectives and definition of success.
- Ensure proper alliance form (Partners should also bring different resources to the table: human, financial, technological, etc.) (Forbes 2013).
- Determine most appropriate governance model with clear decision-making.
- Anticipate the most likely conflicts.
- Plan for evolution.
- Establish clear metrics to track and measure success.
(Anslinger & Jenk 2004; Forbes 2013).
How did Toyota and GM’s collaborative strategy fail in terms of structure of the deal and each firm’s action?
………..watch lecture recording.
What are the 3 ways to cheat in Alliances + explanation?
- Adverse Selection.
- Moral Hazard.
- Holdup.
What is Adverse Selection as a way of cheating in an alliance?
Adverse Selection - Potential partners misrepresent the value of the skills and abilities they bring to the alliance.
What is Holdup as a way of cheating in an alliance?
Holdup - Partners exploit the transaction-specific investments made by others in the alliance.
What is Moral Hazard as a way of cheating in an alliance?
Moral Hazard - Partners provide skills and abilities of lower quality than they promised to the alliance.
What is the Alliance Knowledge Acquisition Process + reference?
- How valuable is the alliance knowledge?
1a) - Low value, no partner learning efforts.
1b) - High value, knowledge acquisition is an objective.
1b) –> 2) Is the alliance knowledge accessible?
2a) How protective is the alliance partner of its knowledge?
- How tacit is the knowledge?
2b) Is the firm effective at learning?
2b) –> 3) Are there learning connections between alliance and partner?
- Is alliance knowledge related to existing knowledge?
- Is the managerial culture in the alliance aligned with the managerial culture in the partner?
(Inkpen 1998).
What are the 4 pieces in the Jigsaw of Collaboration (The Network Organisation)? + reference. (No explanation).
The Network Organisation.
- Power.
- Commitment and interdependence.
- Social Norms.
- Inter-partner Trust.
(Robson et al. 2008).
What is ‘Inter-partner trust’ in the Jigsaw of Collaboration (The Network Organisation)? + reference.
Inter-partner trust = The willingness of a firm’s management to accept vulnerability based on positive expectations of the partner (Robson et al. 2008).
Trust = “A key construct in interfirm relationship management” (Robson et al. 2008).
What is ‘Commitment’ in the Jigsaw of Collaboration (The Network Organisation)? + reference.
Commitment -
(Robson et al. 2008)
What are ‘Social Norms’ in the Jigsaw of Collaboration (The Network Organisation)? + reference.
Social Norms -
(Robson et al. 2008).
What is ‘Power’ in the Jigsaw of Collaboration (The Network Organisation) + reference?
Power -
(Robson et al. 2008).
Why do strategic alliances between firms often fail (2 main reasons why) + reference?
- Partners in the alliance prioritise individual gains over collaborative interests.
- Managerial complexity, arising from difficulties in coordinating independent entities and aligning their goals.
(Park & Ungson 2001).
