Unformatted text preview: ual interests in designing, manufacturing,
or distributing goods or services
1–39 Three Types of Strategic Three Types of Strategic Alliances
• Joint Venture
– Two or more firms create a legally independent company by
sharing some of their resources and capabilities.
• Firms may share equity investment equally or unequally.
– Siemens AG and Corning Inc. form Siecor (1977)
– Microsoft and Qualcomm form Wireless Knowledge
– PRV alliance established in 1971 by Peugeot, Renault, and
Volvo to develop and manufacture a common V6 engine Three Types of Strategic Alliances • Equity Strategic Alliance – Partners who own different percentages of equity in a
separate company they have formed.
• Citigroup and Nikko Cordial formed Nikko Citigroup Ltd. To
support Retail, Asset Management…
• Direct Equity: Nissan-Renault
– Renault: 44.4% stake in Nissan, Nissan:15% of Renault
• Microsoft’s 8% ownership investment in Apple??????????? • Non-equity Strategic Alliance
– Two or more firms develop a contractual relationship to
share some of their unique resources and capabilities.
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