Strategic alliances

STRATEGIC ALLIANCES

Tatiana Giraldo 1520101046

A Strategic Alliance is a relationship

between two or more parties to pursue a set of agreed upon goals or to meet a critical business need while remaining independent organizations.

• joining of forces and resources

cooperation or collaboration

• THE ALLIANCE

synergy

• technology transfer

• economic specialization

• shared expenses and shared risk.

THE

key success factors of the alliance

individual excellence Importance interdependence Invest Information institutionalization

Types of strategic alliances

Joint venture

Equity strategic alliance

Non-equity

strategic alliance

Global Strategi

c Alliances

Stages of Alliance Formation

Strategy Development alliance's feasibility, objectives and rationale.

Partner Assessment involves analyzing a potential partner’s strengths and weaknesses

Contract Negotiation realistic objectives

Alliance Operation senior management commitment

Alliance Termination Alliance

Allowing each partner to concentrate on activities that best match their capabilities.

Learning from partners & developing competences that may be more widely exploited elsewhere.

A strategic alliance could help a company develop a more effective process, expand into a new market or develop an advantage over a competitor

Dealing with diverse or conflicting operating practices

Dealing with conflicting objectives, strategies, corporate values, and ethical standards 

Becoming too dependent on another firm for essential expertise over the long-term

advantages disadvantages

examples

A clothing retailer might form a strategic alliance with a single clothing manufacturer to ensure consistent quality and sizing.

A major website could form a strategic alliance with an analytics company to improve its marketing efforts.

http://en.wikipedia.org/wiki/Strategic_alliance

`http://www.investopedia.com/terms/s/strategicalliance.asp

http://www.businesswire.com/news/home/20110113005670/en/Tata-Coffee-Starbucks-Sign-MoU-Strategic-Alliance