Partner Repeatedness and Alliance Reconfiguration

This study examines how partner repeatedness drives alliance reconfiguration. Using data on 571 fund products initiated by 58 Chinese fund firms from 2007 to 2011, our results indicate that higher levels of partner repeatedness drive firms to reconfigure their alliance by re-introducing previous partners (those that have collaborated with the focal firm in the past, but not currently), rather than dropping active partners or introducing new ones, in an attempt to retain the positive aspects and mitigate the negative effects of partner repeatedness. However, resource richness and firms' centrality in their industries play a key moderating role, as these factors affect the perceived efficacy of the reconfiguration strategies at firms' disposal.