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Splitting the pie: rent distribution in alliances and networks

✍ Scribed by Jeffrey H. Dyer; Harbir Singh; Prashant Kale

Publisher
John Wiley and Sons
Year
2008
Tongue
English
Weight
155 KB
Volume
29
Category
Article
ISSN
0143-6570

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✦ Synopsis

Abstract

This paper addresses the issue of how relational rents, generated through alliances, are distributed to the participating firms. We argue that rent distribution is influenced by factors affecting both jointly generated common benefits and private benefits gained from the alliance relationship. We draw on four perspectives to explain these various effects. The first three, namely the resource dependence perspective, related resources perspective, and structural holes perspective, essentially highlight the private β€˜exploitation’ opportunities that a firm's alliance network presents the focal firm. In contrast, the resource development perspective underscores the private β€˜exploration’ benefits a firm potentially derives from its alliance network. Copyright Β© 2008 John Wiley & Sons, Ltd.

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