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Splitting the pie: rent distribution in alliances and networks

Author

Listed:
  • Jeffrey H. Dyer

    (Brigham Young University, Provo, UT, USA)

  • Harbir Singh

    (University of Pennsylvania, Philadelphia, PA, USA)

  • Prashant Kale

    (University of Michigan, Ann Arbor, MI, USA)

Abstract

This paper addresses the issue of how relational rents, generated through alliances, are distributed to the participating firms. We argue that rent distribution is influenced by factors affecting both jointly generated common benefits and private benefits gained from the alliance relationship. We draw on four perspectives to explain these various effects. The first three, namely the resource dependence perspective, related resources perspective, and structural holes perspective, essentially highlight the private 'exploitation' opportunities that a firm's alliance network presents the focal firm. In contrast, the resource development perspective underscores the private 'exploration' benefits a firm potentially derives from its alliance network. Copyright © 2008 John Wiley & Sons, Ltd.

Suggested Citation

  • Jeffrey H. Dyer & Harbir Singh & Prashant Kale, 2008. "Splitting the pie: rent distribution in alliances and networks," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 29(2-3), pages 137-148.
    • Handle: RePEc:wly:mgtdec:v:29:y:2008:i:2-3:p:137-148
    DOI: 10.1002/mde.1391
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    References listed on IDEAS

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