• The Journal of the Korea Contents Association
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• v.19 no.5
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• pp.644-657
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• 2019

This study examines the types of strategic alliances formed between terrestrial broadcasters and content start-ups, their resource inter-dependence and the dynamic evolution of their relationship through a case study of KBS Labs, a strategic alliance between KBS and content start-ups. Mergers, acquisitions and strategic alliances sought by large media companies or strategic alliances made only between disparate providers in broadcasting and telecommunications industries are now actively pursued by traditional media and start-ups. The alliances between traditional media and start-ups are beneficial to both parties: traditional media can quickly implement start-ups' innovative ideas and business models and start-ups can tap into not only vast amounts of content being created by or in the archives of traditional media but also their capital, office space and reputation. Therefore, the case study of KBS Labs will help draw out important implications for motivating strategic alliances between traditional media and start-ups. To this end, the resource-based view and the evolutionary theory of the firm are adopted to explore the characteristics and development process of the KBS Labs business.