Which of the following allows two or more firms to share the fixed costs (and associated risks)of developing new products or processes?

Question

Quizplus · Accepted Answer

A strategic alliance allows two or more firms to collaborate and share resources, including fixed costs, in order to develop new products or processes. The other options do not necessarily involve sharing fixed costs in this way; franchising agreements involve one firm licensing its brand and business model to another, a global web refers to a company's worldwide online presence, free trade agreements eliminate or reduce trade barriers between countries, and dispersion linkage is not a commonly used term in business.

Which of the Following Allows Two or More Firms to Share