Management summary Research study „Strategic alliances between Czech SMEs and its effects on firm’s competitiveness“

This study aims to explore the effects of strategic alliances by Czech SMEs on firms’ competitiveness. Surveys with the Czech SME representatives showed a positive impact of strategic alliances on the SME’s competitiveness for both domestic and international business. However, the effect was feeble. The increased competitiveness was a result of increased differentiation, cost decrease, popularity increase, market share increases, and profit increase. For domestic operations, executives initiated strategic alliances to get new contacts. Moreover, the most effective value chain segments for the strategic alliance are product development, purchasing, and manufacturing. Furthermore, executives attain maximum benefit from a strategic alliance with suppliers and distributors. On the contrary, for international operations, executives selected strategic alliances for cost-saving, acquisition of new knowledge, new markets, and new contacts. The most effective value chain segments are manufacturing, product development, purchasing, logistics, and infrastructure. However, there were no ideal value chain positions to attain maximum benefit from the strategic alliance. For both domestic and international operations, the ideal partners for the strategic alliance were found to be from the EU and the rest of Europe. The findings provide useful guidelines for prospective Czech executives looking to expand their business domestically and internationally through strategic alliances.


Target groups of stakeholders: Top management, business owners

Citation: Tyll, L., Srivastava, M., Hromádka, M. (2020). Strategic alliances between Czech SMEs and its effects on firm’s competitiveness. JEEMS 25(2), 246 – 263