Global Strategic Alliance Membership: Market versus Institutional Criteria

Global strategic alliances have become a major research topic within all areas of management research. However, existing studies focus on performance rather than on partner search and selection; and even the research on partner selection does not analyze the situation of an “existing” global strategic alliance evaluating potential new members. The purpose of this paper is threefold. First, we show that the evaluation criteria for new members need to combine market as well as cultural and institutional factors, e.g., a so-called “dual criteria approach”. Second, we analyze forces that propel existing GSAs to place more emphasis on such cultural and institutional criteria besides market ones. Third, we examine factors that can be used or considered as valid indicators for an applicant’s cultural and institutional identity.