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A Major DISADVANTAGE of Strategic Alliances, Joint Ventures, and Cooperative

Question 47

Multiple Choice

A major DISADVANTAGE of strategic alliances, joint ventures, and cooperative agreements between domestic and foreign firms is


A) to compete on a more global scale while still preserving their independence.
B) to gain better access to scale economies in production and/or marketing.
C) to fill competitively important gaps in their technical expertise and/or knowledge of local markets.
D) to share distribution facilities and dealer networks, thus mutually strengthening their access to buyers.
E) to create permanent arrangements between the domestic and foreign firms.

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