Authors: Inwon Kang; Jiwon Lee
Addresses: Department of International Business and Trade, Kyung Hee University, Seoul, South Korea ' ELM Graduate School, Help University, Sdn Bhd, No 15, Jalan Sri Semantan 1, Bukit Damansara, 50490, Kuala Lumpur, Malaysia
Abstract: Adopting ex post dynamism, we introduce a novel approach to the negative behaviour in strategic alliance where firms' evaluation of accumulated risk during alliance operation leads to risk-aversive behaviour. To examine this process, a total of 395 employees from China and Korea completed a survey on risk-aversive behaviour in strategic alliance. Based on the collected data, the study measures firm's re-evaluation of alliance and their antecedents and outcomes. Key results show that among the ex post uncertainties, task uncertainty had the largest influence on risk-aversive behaviour. Moreover, the study finds that when EA firms perceive high level of uncertainty during an alliance operation, they show intentions to undertake contractual renegotiation whereas non-EA firms were likely to protect their core assets. Based on the findings, theoretical and practical implications on the management of risk-aversive behaviour in strategic alliance are discussed.
Keywords: technology uncertainty; task uncertainty; partnership uncertainty; equity alliance; non-equity alliance; core asset protection; contractual renegotiation.
International Journal of Technology Management, 2019 Vol.79 No.2, pp.126 - 146
Published online: 25 Jan 2019 *Full-text access for editors Access for subscribers Purchase this article Comment on this article