Abstract
Research on strategic alliances tends to focus on their performance and outcome rather than the process that eventually leads to a particular outcome i.e. alliance success or alliance failure. This study aims to identify factors that lead to an alliance breakup. Specifically, the Volvo-Renault alliance within the European automotive industry is investigated as a case study. A 'Strategic Alliance Collaboration Process Model' is developed based on the findings that outcome of a strategic alliance is determined by seven factors, namely partners' objectives, partner selection criteria, partners' resource contribution, partners' network and performance, environmental factors, ongoing assessment, and learning during collaboration.