Ch07_09_combo_present_Cho_Final

Action because they can be difficult because to

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Unformatted text preview: of scale • Overcome trade barriers • Meet competitive challenges from other competitors • Pool resources for very large capital projects • Learn new business techniques 1–44 FIGURE 9.1 Alliances as Part of Business­Level Cooperative Strategies 1–45 Internal View: Business­Level Cooperative Strategies Complementary Alliances • Combine partner firms’ assets in Combine complementary ways to create new value. new • Include distribution, supplier or Include outsourcing alliances where firms rely on upstream or downstream partners to build competitive advantage. advantage. • E.g. Biotech and Pharma firms • Manufacturer and Retailers 1–46 Competition Response Strategy Complementary Alliances Competition Competition Response Alliances Response • Occur when firms join forces Occur to respond to a strategic action of another competitor. action • Because they can be difficult Because to reverse and expensive to operate, strategic alliances are primarily formed to respond to strategic rather than tactical actions. than • Standards war: VHS vs. Beta •...
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This note was uploaded on 04/28/2013 for the course MGMT 491 taught by Professor S.cho during the Spring '12 term at Washington State University .

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