International Strategic Alliances: Identifying Objective Performance Measures

Authors

Russell P. Adams, The University of Texas Rio Grande Valley
Clara Downey, The University of Texas Rio Grande Valley

Document Type

Article

Publication Date

4-2008

Abstract

With the acceleration of globalization, International Strategic Alliances (ISA) are increasingly playing a critical role in a firm’s strategic arsenal. Despite its importance, measuring an ISA’s success is difficult due to the reticence of failing partnerships to announce these issues. This paper presents an analysis of 29 alliances from 18 countries and 5 industries. The success or failure of these alliances was analyzed utilizing ROA, ROE, ROI, and operating margin as the variables of performance measurement. Discriminant Analysis demonstrates that operating margin correctly classifies the success of an alliance 70% of the time.

Recommended Citation

Adams, R. P., & Downey, C. (2008). International Strategic Alliances: Identifying Objective Performance Measures. International Business & Economics Research Journal (IBER), 7(4). https://doi.org/10.19030/iber.v7i4.3244

Creative Commons License

This work is licensed under a Creative Commons Attribution 4.0 International License.

Publication Title

International Business & Economics Research Journal

DOI

10.19030/iber.v7i4.3244