Business Policy and Strategy
February 24, 2013
For this assignment the team was asked to write a paper with regard to companies who form strategic alliances and cooperative partnerships to complement their own strategic initiatives and strengthen their competitiveness in domestic and international markets. Strategic cooperation is a much-favored approach in industries where new technological developments are occurring at a furious pace. The team was asked to discuss the following aspects of strategic alliance. Explain a strategic alliance. Research and discuss two companies that have formed a strategic alliance. What are the benefits of this strategic alliance? Are there any drawbacks? What advice do you have to help this specific strategic alliance work?
Comcast, the largest home entertainment provider and Verizon Wireless the largest wireless provider go into a joint venture to form a strategic alliance. I work for a telecommunication’s company and we partnered with a major cell phone provider to be able to cross sell products such as cell phones, tablets, a computers along with internet land lines and home entertainment in one. It has been a profitable partnership. In this case our company collaborated with a wireless provider to achieve a mutually beneficial alliance. What are the benefits of this strategic alliance? Discuss the offensive strategy options and defensive strategy moves your organization (or a company from the case readings in the text) should consider. Explain your reasoning. This strategic alliance allows Comcast’s Xfinity video, phone, internet, and home security to be sold in addition to Verizon’s smartphone and tablet plans. The companies are offering a $300 gift card for new subscribers. The benefits is that it expands the market share for both companies and creates a demand that has...