Uncertainty and Opportunity as Determinants of Strategic Alliances: Evidence from Four Case Studies

Abstract

With the emergence of relationship marketing there has been an increased focus on the use of inter-firm relationships or strategic alliances to deliver a total service package to the consumer. Despite a number of studies, there is still much to be learned about why alliances form and why they take the form they do. Based upon case based methodology this research found that the formation of strategic alliances is due to firms seeking out new market opportunities under conditions of increased uncertainty and competition. We argue that alliances are a means of reducing the uncertainty that surrounds the undertaking of new market opportunities. The role of marketing was also examined and was found to be dependent on the strategy and structure of the alliance.