The Study of the Relationship Among the Strategic Alliance, Alliance Partners' Guanxi, Trust, Alliance Performance and Future Cooperation

by Huang, Shu-chun

Abstract (Summary)
The purpose of this research is to discuss the Guanxi among the partners of strategic alliance, the influence on the degree of the trust among the strategic alliance partners caused by Guanxi, and the influences on the alliance performance and on the willing to cooperate in the future caused by the degree of the trust. As the internationalization and liberalization developing, many industries aware of the limitation of their own resources. A company is no longer able to compete with others alone, so they try to forge the strategic alliances to get the important resources to achieve their strategic goals. On the other side, the operation of the strategic alliances is deeply influenced by the trust and the interactions among partners. This trust could be broken due to the major differences on the organization cultures and on the management style in different partners, or due to the bad communications. The alliance could be broken because of the lack of the trust. The relationship between Guanxi and Chinese sociality is very closed. For Chinese enterprises, the development of the Guanxi can be the mechanism to overcome both the completion and the shortage of the resources. The managers in Chinese sociality are specially good at manipulate the Guanxi to construct the trust in an organization. They not only rely on the original Guanxi of the relatives and the acquaintances, but also expand the area of connections among people via the introduction of the intermediates. If both managers of two companies of strategic alliances have the interpersonal Guanxi, the degree of the trust between the strategic alliance partners will be higher. This research not only builds a theoretical framework by making a complete survey, but also verifies this framework by collecting and analyzing 112 effective questionnaires according to the structural equation model, SEM. The results show that the differences of basic types of the Guanxi among the alliances will be affected by the degree of the closeness and by the degree of the trust (including benevolence trust and credibility trust, from family, acquaintances, to strangers, in the descending order). The past cooperative experience of the alliance partners and the common interpersonal relationship are also able to affect the degree of the trust. There are also positive influences on the alliance performance for the degree of the trust among alliances (including the degree of satisfaction on the cooperative relationship and the degree of completion of the goals). And this degree of the trust among the alliances and the alliance performance are of the positive influences on the willing for alliances to cooperate in the future. Because the strategic alliance in essence is both competition and cooperation, the companies must carefully consult and discuss with each other when progressing the forge of the strategic alliances. Based on the Guanxi, the alliance partners should enhance the trust and the understanding between each other. If the alliances partners could be sufficiently trusted, it is believed that the alliance performance can be improved and the win-win can be fully achieved.
Bibliographical Information:

Advisor:Jin-Feng Uen; Iuan-yuan Lu; Yuan-Duen Lee; Chin-Tarn Lee; Kuen-Yun Jone; Lian-Chih Huang; Ing-Chuang Huang

School:National Sun Yat-Sen University

School Location:China - Taiwan

Source Type:Master's Thesis

Keywords:cooperation trust alliance performance guanxi strategic


Date of Publication:08/29/2006

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