22

This study of asymmetric supplier-customer alliances examines how different tensions and dimensions within the alliance shape value creation and value appropriation. This question would appear to be fundamental—as for many startups, successful launch and growth hinge on the ability to build lasting alliances with key industry players. The authors use resource dependence theory to carry out an analysis of two polar cases—one success story, one failure—involving tech startups and large customers. By analyzing the elements that impact value creation and value appropriation, we contribute to identifying: (1) the sources of asymmetry in vertical alliances— relative supplier-customer characteristics (2) two conditions of success when it comes to overcoming the tensions and problems brought about by asymmetries— learning with large customers and customer-specific investments and (3) positive results— dual value appropriation when the conditions for alliance success are properly implemented. In this paper, we shed light on this novel concept of dual value appropriation—where both firms aim for superior joint value creation as the basis for their own competitiveness. Startup and customer firms may fully appropriate jointly generated value, in a relationship of symbiotic interdependence. We discuss the implications of these findings and compare them with existing resource dependence studies which delve into the subject of asymmetries. It should be noted that this research considers points of view from both supplier and customer sides of the alliance.