The purpose of this study is to analyze the moderating effect of cultural diversity on knowledge transfer and alliance strategy. To analyze this objective, which do international business and have partnership were surveyed. The purpose of this study is to analyze the effect of national cultural dimension and type of alliance orientation (scanning alliance, utilization alliance) on alliance performance of knowledge transfer. To analyze this objective, we conducted a survey in target companies which signed partnership and international business. This study reviews various literatures and developed a research model. To examine the research model, we collected data from international companies with partnerships. The study results showed that the national cultural factor significantly affects the alliance types and firm’s performance. It can provide a very meaningful implication where companies decide on alliance strategies by considering cultural environments in overseas countries in order to achieve better performance of knowledge transfer. Moreover, it can provide a very meaningful implication where international firms achieve better performance identifying the core competencies between cultural characteristics and alliance type on suitable for the partnership.
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