Journal of Engineering and Technology Management vol:29 issue:4 pages:508-527
Based on a case study of three asymmetric new venture
development (ANVD) alliances, we examine the governance of
transitions from exploration to exploitation. We propose that role deficiencies, technological asymmetry, and the presence of a separate venture unit at established firms constitute important initial conditions influencing value realization in ANVD alliances. We further show that role-specific investments act as more appropriate mechanisms than contractual incentives to govern transitions from exploration to exploitation. Jointly, these findings
provide new insights into the impact of structural and relational governance mechanisms on value creation in interfirm relationships.