COALITIONAL STABILITY AND ENVIRONMENTAL UNCERTAINTY: A STUDY OF TWO JOINT VENTURES ON THE OUTER CONTINENTAL SHELF (NETWORK, LEADERSHIP, POLICY)

A retrospective longitudinal analysis spanning the years 1971 to 1977 was conducted on two similar joint ventures in the petroleum industry. During this period, both the task and remote environments of these ventures became progressively more turbulent. The ventures were examined and compared to determine what factors could account for the observed differences in success.;Other factors affecting cohesion in these two ventures were: (1) the stability and concentration of leadership within each venture; (2) the experienced opposition of influential outside groups; and (3) the diversity of interests among the joint venture partners and their strategic alternatives to these projects.;Three periods of development are defined for these projects, initiation, differentiation, and determination. These periods are identified as strategic dynamics based on changes in the organizational structures and behaviors of the ventures. These dynamics are then mapped across changes in the organizational task environments according to a model of Lawrence and Dyer.;Existing interorganizational networks were found to affect the formation and development of the ventures. Companies tended to extend and maintain existing linkages from previous joint activities in interstate pipelines and oil and gas lease bidding. Linkages through corporate boards and professional organizations were less important in determining partners.