How entrepreneurial firms can benefit from alliances with large partners

Alliances between entrepreneurial and large firms can create economic value. In many circumstances, however, much of that value is appropriated by the larger partner. In these situations, the performance and even long-term survival of entrepreneurial firms can be put at risk. This article describes the conditions under which the value created by alliances will be appropriated by the large firms, and describes actions that entrepreneurial firms can take to appropriate more of the value created by these alliances.