Company X and Company Z have established a business arrangement whereby the two firms will cooperate for their mutual benefit. Which of the following has most likely been established?

Question

Quizplus · Accepted Answer

A strategic alliance is a formal arrangement between two or more companies to pursue a set of agreed upon objectives while remaining independent organizations. This is the most likely scenario described as it involves cooperation for mutual benefit without indicating a specific structure like franchising or licensing, nor does it directly imply a competitive advantage, which is a broader concept.

Company X and Company Z Have Established a Business Arrangement