Strategic Alliances and Cooperative Strategies

Vocabulary flashcards covering the explanations, advantages, and risks of various strategic alliances and cooperative agreements.

Joint Venture

Explanation: $A+B=C$. Advantage: Shared Resources. Risk: Decision Making.

Equity Strateigic Alliance

Explanation: Agreement with ownership exchange. Advantage: More Control. Risk: Expensive Exit.

Non-equity strategic Alliance

Explanation: A contractul agreement without ownership exchange. Advantage: More Flexibility. Risk: Less Committment.

Franchising

Explanation: I let you use my thing. Advantage: Easy. Risk: Misuse.

Diversifying Strategic Alliance

Explanation: Partnership→New market, New product. Advantage: Expansion. Risk: Lack of knowledge.

Synergisitic Strategic Alliance

Explanation: 2 or more together learn something new. Advantage: Learn Something. Risk: Unfair.

Consortium

Explanation: Multiparty agreement. Advantage: Reduce Cost. Risk: Self Interest.