Purpose – The purpose of this paper is to develop a social exchange perspective of planned short‐term dyadic strategic alliances. Design/methodology/approach – The article adopts a conceptual approach drawing on social exchange theory to elicit innovative conclusions about short‐term dyadic strategic alliances. Findings – Finds that planned short‐term dyadic strategic alliances are difficult to manage, limit social control mechanisms, limit reciprocal activity and interrupt the development of trust. Practical implications – The article can help managers and analysts working in investment banking to understand the underlying causes of alliance instability and/or failure in their industry. Originality/value – The article offers practical insights into the functioning and management of short‐term dyadic alliances which will be of interest to both researchers and practising managers.
Management Decision – Emerald Publishing
Published: Jun 1, 2006
Keywords: Strategic alliances; Investments; Banks; Exchange