International strategic alliances are currently hailed as an effective growth strategy in an era of international market and multinational corporation. The strategic implication is that it allows a firm to specialize in those activities of the value c...
International strategic alliances are currently hailed as an effective growth strategy in an era of international market and multinational corporation. The strategic implication is that it allows a firm to specialize in those activities of the value chain that are essential to its competitive advantage, reaping all the benefit of specialization. Other activities are then entrusted to members of the alliance that perform them more efficiently than the core firm, since they specialize in these activities. Simultaneously, all the firms enjoy the added flexibility of not having fixed commitments to activities that are not essential to their primary operations.
The purpose of this study is to investigate the determinants of critical success in international strategic alliance, and to analyze the main factors which are affecting the successful implementation of strategic alliances by Korean firms.
Identifying the reliable variables which are introduced by exist literature review; The previous study on determinants of successful in strategic alliance can be classified into 47 variables. Questionnaires were mailed or faxed to the random selected firms in Korea those who have had a strategic alliance relationship with foreign firms. Statistical dat were analyzed to test factor analysis by using SPSS windows package. Eventually, we had 17 items and a stable factor structure. Also the loadings on all items were ≥0.70.
The results of empirical study are as follows ;
(1) Factor 1 contains 5 items that deal with issues related to partner congruity.
(2) Factor 2 contains 3 items that describe the concerns linked with governmental policies.
(3) Factor 3 contains 3 items that refer to issues related to partner characteristics.
(4) Factor 4 holds 3 items that refer to issues related to relationship characteristics.
(5) Factor 5 contains 3 items that deal with issues related to partner evaluation.