Ana Valdés Llaneza

Time compression diseconomies in accelerated global alliances

This paper aims at identifying practices that help managers to cope with two opposing forces related to global alliance management: the desirable gradual development of the alliance – due to time compression diseconomies in trust formation – and the need to accelerate this development in order to react quickly to the challenges of a global market. On the basis of a single case study, we show that several practices can be used to guarantee that acceleration does not put in danger either trust formation or other sources of relational rents.