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Purpose

The purpose of this paper is to fill the theoretical void in the discussion of effects of alliance portfolios on firm performance by studying the moderating role of a firm’s strategic positioning.

Design/methodology/approach

A fixed effects, autoregressive panel model on a comprehensive, longitudinal sample of large and medium-sized publicly traded companies in the USA.

Findings

The effect of alliance portfolios on firm performance is conditional on the firm’s strategic positioning.

Research limitations/implications

The results may not be applicable to firms outside the USA or small firms.

Practical implications

Executives should craft their alliance portfolios while considering the strategic positioning of their firms.

Originality/value

This paper presents the first study of alliance portfolios that uses a comprehensive, multi-industry sample while considering firms’ strategic positioning. The paper is the first to jointly study characteristics of alliance portfolios and firm strategies.

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