ABSTRACT

Strategic Alliances or Alliance are a growth vehicle used by enterprises to boost competitiveness. Inter-organisational alliance by large companies of different industries and between large companies from the same industry is a commonplace. This study aims to understand the Small and Medium Scale Enterprise (SME) motives of alliance. The paper tries to capture intra-industry similarities and differences of factors that affect these motives. Through a study of four different pharmaceutical clusters, the paper empirically explores motives of alliance in SMEs and suggests that not all motives remain the same within an industry and also identifies organisational factors that affect differences in choice of motive.

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Keywords: Alliances, Clusters, Pharma sector, Motives, SMEs