Abstract
The impact of knowledge has changed the fundamental rules of competition in advanced industrialized countries from an emphasis on productivity to one on speed in innovation. Furthermore, there are now a variety of ways in which firms can innovate as products have become more complex and are evaluated on multiple criteria. To innovate rapidly and effectively necessitates finding expertise outside the firm and hence the importance of joint ventures, strategic alliances and research consortia. A new theoretical framework about adaptive costs and benefits is suggested to explain this movement away from vertical integration.
Get full access to this article
View all access options for this article.
