Choosing Equity Stakes in Technology Sourcing Relationships: An Integrative Framework Harvard Case Solution & Analysis

Although there was an explosion in the number of search technology links between the firms - including alliances, acquisitions, and all intermediate levels of share ownership - managers have a comprehensive framework to guide them in shared ownership solutions are designed for access to technology. Higher levels of share ownership can provide benefits such as exclusive access to and control over key resources, coordination of interests between the partners, as well as improved coordination and control partnerships. On the other hand, the share ownership also entails costs associated with the implementation of changes in organizational structure, in addition to lower motivation and commitment costs associated with market or technological uncertainty. "Hide
by Prashant Kale, Phanish puranam Source: California Management Review 25 pages. Publication Date: 01 May 2004. Prod. #: CMR285-PDF-ENG

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