Corporate Equity Ownership, Strategic Alliances and Product Market Relationships

Author:

Allen Jeffrey,Phillips Gordon M.

Publisher

Elsevier BV

Reference9 articles.

1. The Management of Innovation;Philippe Aghion;Quarterly Journal of Economics,1994

2. The most common types of alliances between firms in our sample include marketing and supply agreements (Compaq / Conner Peripherals and General Motors / Robotic Vision Systems), single-source contracts (Ford Motor Co. / Excel Industries), and technological development with startups and key suppliers (Intel / Alliant Techsystems and Digital /MIPS Computer Systems). Note that unlike the case of Japan, most of the examples cited in the Business Week article and all but one of the firms in our sample involve one firm owning;See Business Week;American Keiretsu: Learning from Japan,1992

3. Wruck (1989) and Hertzel and Smith (1993) have documented positive excess returns to the announcement of private sales of large blocks of equity. Most of the equity sales in these studies, however, are to institutions and not to corporations. There have also been analyses of toehold positions, or block positions established in anticipation of a takeover;Winton ; Kahn;Recent theoretical work on institutional blockholders includes Bolton and von Thadden,1985

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