The purpose of this dissertation was to investigate post-international strategic alliance (ISA) formation issues, which have been neglected in the ISA literature. The specific research questions were 1) how do ISA partners develop their relationships? 2) how does this relationship development impact effective management of resources contributed by each ISA partner? and 3) how does effective resource management influence ISA performance? Data were collected by mail and web surveys from those who were/are involved in ISA operations. Structural equation modeling using LISREL was employed to test the conceptual model and multiple regression analysis was adopted to test the moderating effects in the model. The model was modified by introducing second order factors to correctly interpret the relationships between factors and achieve a more parsimonious model. Results indicate that alliance partnership interactions between ISA partners (i.e., reciprocity, transparency, formal and informal communication, two-way and participative communication, and cultural sensitivity) positively influenced the development of desire for joint action between them which is based on trust and commitment. Desire for joint action positively influenced alliance coordination effectiveness (ACE: integration and utilization of resources) which underlies effective resource management between ISA partners. ACE positively affected ISA performance. Market environment turbulence (i.e., host government interference and technology turbulence), however, did not have moderating effects between ACE and ISA performance. The first question was answered by introducing alliance partnership interaction factors which influence the building of the positive relationship between ISA partners. The introduction of ACE explained how ISA partners manage the resources provided by each partner. The significant impact of ACE on ISA performance and the nonsignificant impact of the moderating variables indicate that ACE has strong impact on ISA performance that can absorb the effects of host government interference and technology turbulence in the operation of ISAs.

Strategic international public-private partnerships (SIPPPs) involve private multinational and public domestic sector parties. SIPPPs are a more complex but less studied form of international strategic alliance (ISA) and increasingly important in the development of emerging economies. A growing body of ISA research has suggested the importance of cultural differences in the often-reported failure of such cross-cultural relationships, but their exact nature remains unknown. This study examines the effects of both national and organisational cultural value systems on trust-building in SIPPPs. It uniquely also tests whether the two types of cultural values are accorded differently by the two types of partner, private and public. The complex relationship building processes were studied through the combined lenses of social-exchange and cultural-exchange theories, providing a rich perspective on the phenomenon under study. The sample, based on purposive sampling, consisted of successful and unsuccessful SIPPS of various sizes, from different industries, operating in a number of African countries. Africa, with its challenging environment and increasing focus on SIPPPs, represented an "extreme context" within which hypotheses could be rigorously tested. The relationships were tested empirically using structural equation modelling. The study confirmed a strong relationship between partners’ economic and collaborative interdependency on the one hand, and mutual trust-levels on the other. Cultural difference was shown to have both a negative direct effect as well as a positive moderating effect on trust building, providing support for the notion of a “cultural paradox”. Strong evidence was provided that partners from opposite sides of the dyad, informed by their respective cultural backgrounds, have different perceptions of the relative importance of these relationships in building trust. The findings have theoretical and practical significance, suggesting that SIPPP partners can improve trust levels and sustain their relationship by building ties of economic interdependence and engaging in collaborative actions to build their collaborative interdependence. The importance of partners being sensitive to each other’s needs and perceptions, and of engaging in reciprocity to build mutual confidence and trust seems critical. The findings have important implications for SIPPP design and needed management skills, as well as for future cross-cultural dyadic research. / Thesis (PhD)--University of Pretoria, 2018. / Gordon Institute of Business Science (GIBS) / PhD / Unrestricted