A circumplex model of the behavioural antecedents of unintended strategic alliance termination: a PLS-based analysis

Olivier Furrer, Brian Tjemkes, Jörg Henseler

Research output: Chapter in Book/Report/Conference proceedingConference contributionAcademicpeer-review

Abstract

How do firms terminate unsatisfactory strategic alliances? Previous literature on alliance termination has considered exiting an alliance to be a single event. Drawing on circumplex response strategy literature, we propose that alliance termination is part of an integrated system of behavioural responses to adversity. The findings of a scenario-based experiment, obtained through PLS modelling, demonstrate that alliance termination is part of an integrated structure of response strategies governed by two active–passive and constructive destructive dimensions, which suggests that intermediate behavioural responses precede alliance termination. The article also shows that alliance termination can occur through two alternative termination paths depending on the nature of the adverse situation. Building on these findings, the article concludes with some guidelines for managers confronted with alliance termination.
Original languageEnglish
Title of host publicationProceedings of the 2nd International Symposium on Partial Least Squares Path Modeling
Subtitle of host publicationThe Conference for PLS Users
EditorsJörg Henseler, Christian Ringle, José Roldán, Gabriel Cepeda
Place of PublicationEnschede
PublisherUnivesity of Twente
Number of pages13
ISBN (Print)9789036540568
DOIs
Publication statusPublished - 16 Jun 2015
Event2015 PLS User Conference: 2nd International Symposium on Partial Least Squares Path Modeling - The Conference for PLS Users - Seville, Spain
Duration: 16 Jun 201519 Jun 2015

Conference

Conference2015 PLS User Conference
CountrySpain
CitySeville
Period16/06/1519/06/15

Keywords

  • Strategic alliances
  • Circumplex model
  • Partial least squares (PLS)
  • Response strategies

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