Choose whom to date wisely: Explaining the performance variation in strategic alliances

In the current dynamic and fast-paced business environment, it is impossible to be successful alone. Companies form strategic alliances to pool resources and join endeavors. However, partner choice is a crucial determinant of alliance success. This paper explores the role of alliance characteristics, absorptive capacity and environmental turbulence on three distinct facets of innovative performance within alliances. The results demonstrate that the most beneficial collaboration structure is the one involving partners from different activities and also countries. The results of an alliance are further enhanced by continuous development mindset of alliance partners as well as are boosted by environmental dynamism.