Moving up the value chain using alliance-induced learning: a case study

Abstract

Companies use alliances to learn from partners. This learning can be used as the impetus to move up the value chain by introducing products using proprietary technology. The extant literature points out that there are impediments to both knowledge flow and knowledge use when firms attempt to learn from their alliance partners. Wipro Technologies is a India-based technology firm that saw its domestic competitiveness erode when foreign firms entered India. Wipro attempted to move up the value chain by using alliance-induced learning. Using theory based on strategic alliance literature, the study examines Wipro’s longitudinal experience.