The strategic alliance between Avebe and Noveon that failed to achieve its objectives
Table of Contents
- Introduction.
- The strategic alliance between Avebe and Noveon.
- Three categories of strategic alliances.
- Equity alliance.
- Joint venture.
- Non-equity alliance.
- Stages in the development of the strategic alliance.
- Formation stage.
- Operation stage.
- Outcome stage.
- The important factors in the Operational phase.
- Control.
- Conflict.
- Communication.
- The important variables in the operational phase.
- Conclusion.
- References.
SummaryToday organizations operate in a global environment that is characterized by changing economies of scale, technological superiority and instability. Thus it is very difficult for the companies to survive on their own and fulfil their global ambitions. Thus companies are increasingly turning to strategic alliances to compete and survive in the global market. (Achrol, 1991).
Both in profit and non-profit organizations strategic alliances seem to be the order of the day. Strategic alliance is one of the common strategies used by organizations to increase market shares, reduce costs or create synergy. They provide access to competence and a local intelligence base without carrying a burden of starting up a subsidiary from zero.(Cartwright and Cooper, 1996)
Both in profit and non-profit organizations strategic alliances seem to be the order of the day. Strategic alliance is one of the common strategies used by organizations to increase market shares, reduce costs or create synergy. They provide access to competence and a local intelligence base without carrying a burden of starting up a subsidiary from zero.(Cartwright and Cooper, 1996)
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