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http://dx.doi.org/10.7583/JKGS.2011.11.2.057

The Study on Evolutionary Process of Online-Game Companies' Alliance Strategy for Product Diversification  

Chang, Yong-Ho (Dept. of Mass Communication, Sogang Univ.)
Joung, Won-Jo (Institute for the Study of Media and Culture, Sogang University)
Abstract
This study approaches how newly emerged game companies has implemented strategies for product diversification according to market growth cycle(beginninggrowing-mature) by empirical case study through evolutionary theory and resource based theory approach. At the beginning, online game companies had grown with different strategies(technology based, service based) by initial condition(genre, technological level, user attribute). After market growth, for product diversification, these companies carried out path-dependent alliance strategy(complementary, competitive) depending on resource base(technology capacity, service capacity based). As online game market getting mature, these companies has adapted flexibly in responding to market growth cycle by integrated strategy(naturally selected to mobilize every possible resource capability). By analyzing the alliance strategies pattern of online game companies in newly emerged game industry according to market growth cycle through combination of resource based theory and evolutionary theory, these results suggest that new industrial, theoretical, policy model is required.
Keywords
resource based theory; evolutionary theory; online game industry; technology base;
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