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A model of cultural differences and international alliance performance

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Abstract

We propose a model of cultural differences and international alliance performance to explain the ambiguous findings regarding the influence of national culture differences on alliance performance. Building on research on national, organizational, and professional cultures, we argue that the closer the domain of a social group is to the value-creating activities of an alliance, the more disruptive cultural differences between the partners’ members of that social group will be. Organizational culture differences will tend to be more disruptive than national culture differences, and differences in the professional culture most relevant to alliance value creation typically will be the most disruptive. Implications for research and managerial practice are discussed, and the model's relevance for international R&D alliances is highlighted.

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Acknowledgements

We thank the participants of the Governing Knowledge Processes Conference as part of the Learning, Incentives, and Knowledge (LINK) Program, Copenhagen School of Business, September 2001, for their helpful comments on earlier drafts of this paper. We also thank Nicolai Juul Foss and Torben Pedersen, Departmental Editors, and four JIBS reviewers for their insights, critiques and suggestions.

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Correspondence to David G Sirmon.

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Accepted by Nicolai Juul Foss & Torben Pedersen, Departmental Editors, 2004. This paper has been with the author for three revisions.

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Sirmon, D., Lane, P. A model of cultural differences and international alliance performance. J Int Bus Stud 35, 306–319 (2004). https://doi.org/10.1057/palgrave.jibs.8400089

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