Innovation in Technology Alliance Networks

Book excerpt: However, the author presents evidence that by pursuing a block membership strategy under conditions of cumulative or disruptive technological change, innovative performance can be improved. She also reveals that, when compared to their non-member counterparts, firms in alliance blocks are likely to apply for more patents, hold more central positions in the network, have larger revenues and undertake more R & D intensive research. In addition, they are also inclined to originate from an Asian background. This is the first book to propose a well-developed theoretical framework, supported by empirical evidence, to explain alliance block formation processes and their effect on innovative performance. As such, it fills a substantial gap in the literature on competitive rivalry among alliances, an increasingly important area of research.