Knowledge transfer as a means for relationship development: A Kazakhstan-foreign international joint venture illustration

Developing effective international joint ventures (IJVs) is critical for firms entering economies in transition, such as Kazakhstan. The resource-based view of the firm forms the foundation to examine the influence of knowledge transfer between IJV partners. Traditionally, the transfer of knowledge between IJV partners has been theorized to lessen dependence, increasing IJV instability. However, the relationship development literature indicates that the exchange of assets between partners can strengthen relationship ties, enhancing IJV stability. The authors use a sample of 87 matched dyads from two-party IJVs formed in Kazakhstan to examine the influence of knowledge transfer between IJV partners on commitment and resulting satisfaction. The results, supportive of relationship development theory, indicate that Kazakhstan-foreign IJVs with higher levels of knowledge transfer resulted in higher levels of firms' commitment to and satisfaction with their relationships, thus supporting a relationship development perspective of knowledge transfer. The authors address implications for academics and practitioners.