parties’ inability to write an a priori comprehensive agreement that covers all future
contingencies, Nielsen (2010) argued that all alliance contracts are necessarily
incomplete. Thus, these contracts may enhance or prohibit desired outcomes. In
order to be successful, all stakeholders involved in such joint cooperation agreements must be informed and clear about their expectations, rights and duties
involved from the onset if being engaged in such multiple use setting.
Regarding the predictors of success in joint ventures and other alliances, an
amount of considerable research exists. Johnson and Houston (2000) find that only
joint ventures between firms in related businesses are likely to generate operating
synergies. Thus, combinations of dissimilar firms can reduce value by contributing
to bureaucracy and lack-of-focus. Beamish (1994) finds that the good intentions and
rational motives behind alliances are often not congruent with the strategic direction
of either firm on its own. This inconsistency can lead to poor performance and
instability. Indeed, Kumar (2007) finds that in incidences where firms with asymmetric resource endowments enter into a joint venture, asymmetric wealth gains
arise via the negative wealth transfer effects of resource appropriation by the firm
with more valuable resources. Therefore, initial collaborative research between
sectors prior to the design and execution of a commercial agreement by act as
avenue to overcome this potential pitfall Michler-Cieluch et al. (2009a). In the
German case study, our interviews and survey work suggests that the stakeholders
in a potential mariculture-wind energy facility may be amenable to some type of
contracted agreement. Respondents have suggested that they would be open to the
idea of contracting out culturing activities at the site of an offshore wind farm as a
prior joint research initiative and feasibility study. It does seem unlikely though at
this point that a contracted solution could occur in the absence of some intervening
third body (Michler-Cieluch et al. 2009a). However, an advisory or some other
external independent mediating group or entity that helps to coordinate and facilitate the entire process generally improves the chances of reaching a successful
agreement (Noble 2000).
11.7.1.3 Legislated
In the third ownership option, a legislative prescription could attain desired policy
goals of spatial efficiency in the ocean area. The use of mandates, subsidies, tariffs,
and other policy tools can change the incentives of the current economic environment to make the multi-use concept economically viable in cases where it may
not be to date very appealing or in places where finding a direct commercial market
solution for multi-use in the offshore setting is not possible. Increasingly, policy
makers may find policy instruments as a palatable solution for achieving policy
goals, especially as there is a growing focus on coastal zone management and the
efficient and equitable use of coastal resources in the EU, US, and elsewhere
(Krause et al. 2003, Lutges and Holzfuss 2006; Rhode Island Coastal Resources
Management Council 2010). Mariculture can offer expanded employment opportunities to rural peripheral regions and displaced fishermen in the area of a wind
338
B.H. Buck et al.
contingencies, Nielsen (2010) argued that all alliance contracts are necessarily
incomplete. Thus, these contracts may enhance or prohibit desired outcomes. In
order to be successful, all stakeholders involved in such joint cooperation agreements must be informed and clear about their expectations, rights and duties
involved from the onset if being engaged in such multiple use setting.
Regarding the predictors of success in joint ventures and other alliances, an
amount of considerable research exists. Johnson and Houston (2000) find that only
joint ventures between firms in related businesses are likely to generate operating
synergies. Thus, combinations of dissimilar firms can reduce value by contributing
to bureaucracy and lack-of-focus. Beamish (1994) finds that the good intentions and
rational motives behind alliances are often not congruent with the strategic direction
of either firm on its own. This inconsistency can lead to poor performance and
instability. Indeed, Kumar (2007) finds that in incidences where firms with asymmetric resource endowments enter into a joint venture, asymmetric wealth gains
arise via the negative wealth transfer effects of resource appropriation by the firm
with more valuable resources. Therefore, initial collaborative research between
sectors prior to the design and execution of a commercial agreement by act as
avenue to overcome this potential pitfall Michler-Cieluch et al. (2009a). In the
German case study, our interviews and survey work suggests that the stakeholders
in a potential mariculture-wind energy facility may be amenable to some type of
contracted agreement. Respondents have suggested that they would be open to the
idea of contracting out culturing activities at the site of an offshore wind farm as a
prior joint research initiative and feasibility study. It does seem unlikely though at
this point that a contracted solution could occur in the absence of some intervening
third body (Michler-Cieluch et al. 2009a). However, an advisory or some other
external independent mediating group or entity that helps to coordinate and facilitate the entire process generally improves the chances of reaching a successful
agreement (Noble 2000).
11.7.1.3 Legislated
In the third ownership option, a legislative prescription could attain desired policy
goals of spatial efficiency in the ocean area. The use of mandates, subsidies, tariffs,
and other policy tools can change the incentives of the current economic environment to make the multi-use concept economically viable in cases where it may
not be to date very appealing or in places where finding a direct commercial market
solution for multi-use in the offshore setting is not possible. Increasingly, policy
makers may find policy instruments as a palatable solution for achieving policy
goals, especially as there is a growing focus on coastal zone management and the
efficient and equitable use of coastal resources in the EU, US, and elsewhere
(Krause et al. 2003, Lutges and Holzfuss 2006; Rhode Island Coastal Resources
Management Council 2010). Mariculture can offer expanded employment opportunities to rural peripheral regions and displaced fishermen in the area of a wind
338
B.H. Buck et al.