Which of the following is a potential benefit of forming a strategic alliance?
A) It primarily helps both firms in accomplishing their short-term operational goals.
B) It will lead to one of the organizations in the alliance gaining a competitive advantage over the other.
C) It will lead to market expansion and greater penetration of current markets.
D) It typically reduces the market risk of introducing a new product.

Question

Quizplus · Accepted Answer

Forming a strategic alliance can allow for market expansion and greater penetration of current markets by using the resources of both organizations. While it may help with short-term operational goals, the primary benefit is usually long-term growth and success. It may not necessarily lead to one organization gaining a competitive advantage over the other, and it may not always reduce market risk when introducing a new product.

Which of the Following Is a Potential Benefit of Forming