OECD Science, Technology and Industry Working Papers

The OECD Directorate for Science, Technology and Innovation (STI) leads OECD research on the contribution of science, technology and industry to well-being and economic growth. STI Working Papers cover a broad range of topics including definition and measurement of science and technology indicators, global value chains, and research on policies to promote innovation. These technical or analytical working papers are prepared by staff or outside consultants to share early insights and elicit feedback.


International Strategic Alliances

Their Role in Industrial Globalisation

This paper reviews recent trends in international strategic alliances, which have grown more than fivefold between 1989 and 1999 paralleling the increase in cross-border mergers and acquisitions (M&As). The paper covers frequency, type, purpose and geographical patterns of international alliances during the 1990s as an important aspect of industrial globalisation and analyses sectoral trends in industries such as telecommunications, pharmaceuticals, automobiles and airlines. While international alliances provide firms with strategic flexibility, enabling them to respond to changing market conditions, they can also be effective paths for achieving global scale in enterprise operations along with M&As and greenfield investment. Driving forces behind international strategic alliances include cost economising in production and R&D, strengthening market presence, and accessing intangible assets. The paper presents the recent and comprehensive data available on strategic alliances and ...


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