Abstract: Board functions of international joint ventures (IJVs) and their antecedents have received insufficient scholarly attention. To address this literature gap, we build on Hillman and Dalziel’s (2003) framework and propose that the focal firm’s alliance capability is an important capability antecedent that facilitates the resource-provision and monitoring functions of the IJV board. Firms, we argue, can leverage their alliance capabilities in designing and ensuring a well-functioning IJV board, which in turn improves the focal firm’s performance. We also find that board composition in favor of the domestic company enhances the functioning of the IJV board because human capital of such board members is more relevant. Finally, the foreign partner has the motivation to leverage the IJV board to achieve its purpose of accessing local markets.

Abstract: We investigate how competitive relationships between R&D alliance partners in high-technology industries affect their alliance governance choices. The alliance literature has interpreted direct competition in end-product markets between alliance partners as a factor aggravating appropriation concerns by increasing the private benefits from opportunism. However, drawing on the multimarket competition literature, we claim that multimarket contact can deter opportunism and thereby reduce the need for hierarchical governance structures. We investigate several moderators of this mutual forbearance from opportunism, arguing that the substituting effect of multimarket contact for hierarchical governance is attenuated when alliance partners have non-reciprocal market contacts or lack geographic overlap while intensified when they have technology overlap. Our arguments are supported by empirical findings from a sample of R&D alliances in the biopharmaceutical industry.

Abstract: In this paper we analyse the significance of certain firm specific factors that make small firms in an emerging economy, China, attractive joint venture partners for foreign MNCs. Small firms have to not only confront the liability of their smallness but, given the institutional imperfections of their country, also deal with the considerable information asymmetries between them and foreign firms. Adopting transaction-cost and resource-based perspectives, we contend that firms that have acquired local legitimacy can successfully overcome these challenges. Furthermore, drawing on the social capital perspective, we propose that certain network resources that firms possess can also play an important role in making themselves attractive partners to foreign firms seeking to forge joint ventures in China.

Abstract: In this paper I investigate how alliances and multiplex interorganizational networks, into which all firms are embedded, affect acquisition performance of acquirer firms. I propose that resources embedded into these networks, particularly in high-tech settings, as well alliances outside of acquirer-target dyads influence the acquisition performance. In line with my hypotheses, I find empirical evidence that acquirers benefit when they purchase firms that have previously received venture investment from either their close allies, or highly central actors, but not both. My results highlight both the importance and the complexity of social mechanisms at work in this setting.