What is an equity alliance?
A)a collaborative arrangement in which at least one collaborating company takes an ownership position in the other
B)a collaboration in which each contributor receives an equitable return based on relative contribution
C)a collaboration in which partners agree to share technology with each other
D)a wholly owned acquisition to prevent appropriation of intellectual property

Question

Quizplus · Accepted Answer

An equity alliance involves a collaborative arrangement in which at least one collaborating company takes an ownership position in the other. This means that one of the partners acquires a certain percentage of ownership in the other partner's company, creating a long-term strategic relationship between the two firms. This type of alliance is often used to leverage the strengths of both partners and gain access to new markets, customers, or technologies.

What Is an Equity Alliance