Competitive Advantage Through Joint

Interfirm collaborations are an important source of resources and competitive advantage. Few enterprises have all of the crucial resources to compete effectively with competitors in the current dynamic landscape. Hence, enterprises seek access to the resources needed through joint ventures. Since joint venture as one of the equity alliances, this paper is to examine the relationships between joint venture and competitive advantage of the alliance management employing the theoretical framework transaction costs and strategic behavior. Effective alliance management begins with partnership selecting. Hence, to look further insight into the joint venture as a source of competitive advantage for enterprises, this paper utilize a case study of the Taiwanese fastener enterprises that secure for interfirm collaboration through joint ventures and formed an international marketing company, U-WIN FASTENERS CO., LTD in July 7, 2001. Due to its well-established industrial system and industrial cluster, Taiwanese fastener industry is capable exerting itself production-based competitive advantage. Thus, it has enjoyed an outstanding reputation around the worldwide for “The Kingdom of Fastener ” in the total exporting supplies since 1984. Specifically, in the resulting we can see the fastener enterprises adopt joint ventures it indeed not only minimizes the sum of production and transaction costs but also maximizes profits through improving an enterprise’s competitive position