Crossing the Industry-Line : Breakthrough Innovation through Cross-Industry Alliances with 'Non-Suppliers'
Journal
Long Range Planning
ISSN
0024-6301
ISSN-Digital
1873-1872
Type
journal article
Date Issued
2010-09-04
Author(s)
Abstract
Past research on alliances has elaborated on the motives, determinants and benefits of cooperative relationships between firms. Notwithstanding their benefits, alliances entail mutual dependence on partners' complementary resources, and this is particularly true for vertical R&D alliances, where the development of technological innovation depends largely on suppliers' R&D results. In such settings, alliances may be prone to rigidities when it comes to developing breakthrough innovations. This article illustrates how the automobile manufacturer BMW mitigated its dependence on its established suppliers and engaged in a cross-industry alliance with a ‘non-supplier' to successfully develop a breakthrough innovation. Based on the case, we discuss the strategic and operational challenges inherent in cross-industry R&D alliances with non-suppliers. Our findings imply that the success of cross-industry alliances depends on specific actions at the strategic and operational levels
Language
English
Keywords
Alliances
Cross-Industry innovation
BMW
HSG Classification
contribution to scientific community
Refereed
Yes
Publisher
Elsevier
Publisher place
Amsterdam
Volume
43
Number
5-6
Start page
639
End page
654
Pages
16
Subject(s)
Division(s)
Eprints ID
69704