zymbaclass @ hotmail .com Chapter 9 Chapter 9 Cooperative Strategy Cooperative Strategy zymbaclass @ hotmail .com Partnerships between firms Partnerships between firms bined to pursue mutual interests to bined to pursue bined to pursue mutual interests to mutual interests to Develop Develop Develop Manufacture Manufacture Manufacture Distribute Distribute Distribute Goods Goods Goods Services Services Services Firm A Firm A Firm B Firm B where their where their where their Core Competencies Core Competencies Capabilities Capabilities Resources Resources Strategic Alliances Strategic Alliances Strategic Alliances zymbaclass @ hotmail .com Example: Example: Xi Xi’’ an Janssen an Janssen Pharmaceuticals . Pharmaceuticals . Example: Example: Chrysler and Mitsubishi Automotive Chrysler and Mitsubishi Automotive Example: Example: Chrysler Chrysler ’’ s work s work Types of Strategic Alliances Types of Strategic Alliances Types of Strategic Alliances Independent firm is created by the joining assets from two Independent firm is created by the joining assets from two other firms where each contributes X% of the total other firms where each contributes X% of the total Joint Venture Joint Venture Partnership where the two partners do not own equal shares Partnership where the two partners do not own equal shares Equity Strategic Alliance Equity Strategic Alliance Contract is given to supply, produce or distribute a firm Contract is given to supply, produce or distribute a firm ’’ s s goods or services (without equity sharing) goods or services (without equity sharing) Non-Equity Strategic Alliance Non-Equity Strategic Alliance Non-Equity Strategic Alliance zymbaclass @ hotmail .com Reasons for Alliances by Market Type Reasons for Alliances by Market Type Slow Slow Cycle Cycle Market Market Gain access to a restricted market Gain access to a restricted market Establish franchise in a new market Establish franchise in a new market Maintain market stability Mai
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