Inter-firm collaboration has become an ever-present phenomenon in corporate practice. Since the 1980s, the frequency and diversity of corporate alliances have increased continuously. As summarizes, “numbers have grown by more than 20 percent a year over the past two decades, while the way they are used has changed dramatically: The cross-border and technology agreements of the 1980s and early 1990s have given rise to a much broader range of alliances seen today”.
The increased number of interorganizational ties reflects a trend from self-sufficient firms to increasingly dense networks of interdependent firms linked by collaborative relationships. While the motives for alliance formation are manifold, the recent spike in alliance activity coincides with a rising complexity of conducting business, due to the foundations of competitive advantages becoming increasingly knowledge-based (rather than based on physical assets) and the scope of activities having become global. In addition to required skills and resources often exceeding individual firms’ capabilities, this has also generated new collaborative opportunities. In brief, cooperative ventures have become an essential aspect of corporate Strategy
KeywordsPublic Firm Conceptual Foundation Biotechnology Industry Biotechnology Firm Biotech Firm
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