22 Making Sense of Blockchain: How Firms Can Chart a Strategic Path Forward ^Top Given blockchain’s nascence, alliances might make the most sense for pooling complementary capabilities and co-creating solutions. However, for multi-party alliances to succeed, firms that share data and resources in such consortiums have to clearly define roles for control, authority, and responsibility to manage contingencies.31 3) Acquisitions A quicker way to build capabilities is to acquire startups already working on blockchain solutions. If the two organizations possess complementary capabilities and integration is possible, acquisitions can create reciprocal synergies and give the firm greater control over outcomes.32 For instance, to solve its problem of content ownership attribution and royalty pay- ments, Spotify acquired Mediachain Labs, which was building a distrib- uted database linking content to creators.33 Mediachain’s technology complemented Spotify’s database, and their common customer domain made integration easier. When a future vision and integration path can be clearly defined, and knowledge can be plowed back into a firm to en- hance its internal capabilities, acquisitions make the most sense.34 31 Henry W. Chesbrough, “The Era of Open Innovation,” MIT Sloan Management Review 44, no. 3 (Spring 2003): 35-41, https://sloanreview.mit.edu/article/the-era-of-open-innovation/. 32 Capron and Mitchell, “When to Buy: Acquisition Versus Alternatives,” in Build, Borrow, or Buy, chap. 5. 33 Hugh McIntyre, “Spotify Has Acquired Blockchain Startup Mediachain,” Forbes, April 27, 2017, https://www.forbes.com/sites/hughmcintyre/2017/04/27/spotify-has-acquired-blockchain-start- up-mediachain/#341aa70d69ee. 34 Gary Dushnitsky and Michael J. Lenox, “When do incumbents learn from entrepreneurial ventures? Corporate venture capital and investing firm innovation rates,” Research Policy 34, no. 5 (June 2005): 615-639, https://doi.org/10.1016/j.respol.2005.01.017.