which of the following statements is true of strategic alliances
D. The firm is deprived of the knowledge of the host country's competitive conditions, culture, language, etc. B. WebQuestion: QUESTION 13 Which of the following statements is true of strategic alliances? Firms benefit from a local partner's knowledge of the host country's competitive conditions. They limit the entry of firms into foreign markets. In their contract, they specify how governance issues, operating issues, and termination issues would be resolved. This encourages the supplier to align its incentives with Velara's needs. A. switching costs B. market development costs C. pioneering costs D. promotional development costs, A large-scale entrant is more likely than a small-scale entrant to be able to capture first-mover advantages associated with _____. C. share the risks of developing new products or processes. A. D. exporting; joint-venture, If a high-tech firm sets up operations in a foreign country to profit from a core competency in A . C. intangible property 4) A company that. 1. C. It guarantees consistent product quality and achieves experience curve and location economies. D. wholly owned subsidiaries. \text{Quantity of direct labor used}&\text{850 hrs. B. AnnualRate7.00%7.25%7.50%7.75%8.00%8.25%8.50%8.75%9.00%9.25%Daily1.0725001.0751851.0778751.0805731.0832771.0859881.0887061.0914301.0941621.096900Monthly1.0722901.0749581.0776321.0803121.0829991.0856921.0883901.0910951.0938061.096524Quarterly1.0718591.0744951.0771351.0797811.0824321.0850871.0877471.0904131.0930831.095758Daily1.3230941.3363891.3498171.3633801.3770791.3909161.4048911.4190081.4332651.447666Monthly1.3220531.3352611.3485991.3620661.3756661.3893981.4032641.4172661.4314051.445682Quarterly1.3199291.3329611.3461141.3593881.3727851.3863061.3999511.4137231.4276211.441647. Small-scale entry is a way to gather information about a foreign market before deciding To increase the potential for a successful acquisition, a firm should: A. always bid low to allow for partial failure. A. The contract includes the conditions under which the contract will be closed and the consequences of closure for each partner. However, Stylink tried to exploit the alliance-specific investments made by Plateus. Hold majority ownership in the venture so that the firm has greater control over the technology. A disadvantage of _____ is that the firm that enters into such an arrangement will have no long-. WebWhich of the following statements is true about strategic alliances? True False, . Drew's Cafe Inc. and Cuppa Corp., two local coffee chains, combine resources to enter the global market. B. country. C. Strategic alliances A firm is relieved of many of the costs and risks of opening a foreign market on its own. A nonequity alliance A. organized alliance-management knowledge A. switching costs C. A joint venture D. Noncompete clauses, Spade Investments Corp. owns a financial stake in Loisa Inc., a manufacturing company. C. It helps a firm achieve experience curve and location economies. D. turnkey projects, A firm can establish a wholly owned subsidiary in a country by building a subsidiary from the True False, Unlike joint ventures, strategic alliances require the firm to bear all the costs and risks of foreign expansion. C. It cannot be used when a firm possesses some intangible property that might have business applications. B. Strategic alliances, while they have many benefits, do not allow firms to share the fixed costs Explain ways in which the feature can be used. True False, The main advantage of greenfield investment is that it gives the firm a much greater ability to build the kind of subsidiary company that it wants. Conflicts are avoided by regular interaction, and any dispute that arises is resolved at an early stage. Joint ventures with local partners do not face any risk of being subject to nationalization or B. C. Cooperation between the two firms is not likely to depend on cross-equity holdings. A. licensing contract Which of the following statements is true about firms in a joint venture? Firms benefit from a local partner's knowledge of the host country's competitive conditions. True False, Educating customers is a part of pioneering costs. 2. B. Licensing; franchising B. optimal? A. C. They limit the entry of firms into foreign markets. 2003-2023 Chegg Inc. All rights reserved. Stefan and the driver of the other car are seriously injured. It the most feasible entry mode due to the political considerations. D. A joint venture. Licensing agreements They are a way to bring together complementary skills and assets that both companies C. wholly owned subsidiary D. In many cases, firms make acquisitions to preempt their competitors. B. USP A. Greenfield investments B. It the most feasible entry mode due to the political considerations. b)Strategic alliances usually lead to one of the firms losing its relational advantage. A. C. A distribution agreement C. By sharing only the technology of the firm, not the patents and copyrighted information. acquisition. A. The costs of promoting and establishing a product offering when a firm enters a foreign market A. It guarantees consistent product quality. WebChapter 8 - Multiple Choice - Chapter 8: Strategic Alliances Multiple Choice Questions Zeal Inc., a - Studocu Multiple Choice chapter strategic alliances multiple choice questions zeal inc., software firm, decides to enter the publishing industry. A. joint venture B. turnkey strategy C. licensing agreement D. greenfield strategy. O 2) 3) Strategic alliances are not associated with any form of relationship management. When the development costs and/or risks of opening a foreign market are high, a firm might gain by sharing these costs and or risks with a local partner. It helps a firm avoid the development costs associated with opening a foreign market. He knows that some of his friends have driven to his house, but he doesn't pay much attention to whether or not they are drinking. This is an example of: C. A distribution agreement C. Equity clauses Which of the following statements is likely to strengthen Marcel's argument? It avoids the threat of tariff barriers by the host-country government. competitor. Lower research and development costs and marketing costs than other firms A. wholly owned subsidiary B. franchising arrangement C. turnkey operation D. licensing agreement, In _____, the contractor agrees to handle every detail of the project for a foreign client, including the training of operating personnel. B. nations where there is a dramatic upsurge in either inflation rates or private-sector debt. Strategic alliances bring together complementary skills and assets from each partner. C. It is required if a firm is trying to realize location and experience curve economies. curve and location economies. They enter into a strategic alliance in which they create and own a legally independent company. As Abby pulls her car onto the highway, she swerves and hits another car head-on. D. licensing, _____ allow a firm to rapidly build its presence in the target foreign market. C. A coordination alliance D. A horizontal alliance, Two organizations, Purple Inc. and Spring Corp., are positioned at a common stage of the value chain. A strategic alliance is an arrangement between two companies to undertake a mutually beneficial project while each retains its independence. D. Firm risks giving away technological know-how and market access to its alliance partner. In a(n) _____, the contractor agrees to handle every detail of the project for a foreign client. A. D. Strategic alliances usually lead to Through this measure, J.L. A. joint venture A contractual alliance In a ____, the firm owns 100 percent of the stock. C. Consumer durables, computer peripherals, and automotive parts C. It is required if a firm is trying to realize location and experience curve economies. According to the _____, top managers typically overestimate their ability to create value from an acquisition. D. acquisition, A(n) _____ is a way to bring together complementary skills and assets that neither company could A. A. scale economies B. diseconomies of scale C. pioneering costs D. diseconomies of scope. Explain whether it would be correct to reference the periods of rainy season and dry season in this area as being equal. A. turnkey standards for an industry difficult. _____ agreements enable firms to hold each other "hostage," thereby reducing the risk they will B. performance extrapolation hypothesis d)In strategic. Acquisitions businesses in the same country. C. goodwill trust B. B. licensing Residual rights clauses Which of the following is likely to be true in this case? A. alliance A. Hold-up partner, but in addition to a royalty payment, the firm might also request that the foreign partner WebA drawback involved in using cross-border strategic alliances to enter new foreign markets is that: some of the firm's proprietary know-how may be appropriated by the foreign partner The Mansion Hotel Group purchased Red Brick Hotels for an estimated value of $120 billion. A. WebFor a strategic alliance, firms should seek partners that are: a.willing to share costs and risks of new-product development.b.known for being opportunistic.c.similar when it comes to capabilities.d.radically different when it comes to strategic Strategic alliance definition: Its a joint venture that bolsters a core business strategy, creates a competitive advantage, and abates competitors from moving in on a marketplace. Why are adjusting entries necessary under accrual-basis accounting? B. D. wholly owned subsidiaries. The firm does not have to bear the development costs and risks associated with opening a WebFor a strategic alliance, firms should seek partners that are: a.willing to share costs and risks of new-product development.b.known for being opportunistic.c.similar when it comes to capabilities.d.radically different when it comes to strategic C. turnkey contract True False, Cross-licensing agreements can be used to formalize arrangements to swap skills and technology in a strategic alliance. WebWhich of the following is true of strategic alliances? McDonald's is an example of a firm that uses _____. D. 10/90. AMOUNTPER$1.00INVESTED,DAILY,MONTHLY,ANDQUARTERLYCOMPOUNDING\begin{array}{c} A. 100 percent of the profits generated in a foreign market. Web1) Strategic alliances are commonly found in markets where there is a pure competition market structure. WebB. True False, First-mover advantages are the advantages associated with entering a market early. C. may switch to a _____ to handle local marketing, sales, and service. while it has the Skip to document Ask an Expert Sign inRegister Sign inRegister Home Ask an ExpertNew D. C. It guarantees consistent product quality and achieves experience curve and location C. Fin Inc., which produces the compressors used in Hues air conditioners True False, Large strategic commitments increase strategic flexibility. D. Apparel, shoes, and leather products, B. D. It increases a firm's ability to utilize a coordinated strategy. D. give later entrants a cost advantage over early entrants. B. In strategic alliances, companies may choose to cooperate at any stage along the value chain. country. Through this measure, Plateus seeks to primarily achieve _____. company could easily develop on its own. A. joint ventures Which of the following is an advantage of franchising? Inc., a manufacturing company, develops manuals that include tools for making a business case, a partner-evaluation form, a negotiations template outlining the roles and responsibilities of different departments, and a list of ways to measure the performance of collaborating partners. C. It is required if a firm is trying to realize location and experience curve economies. Timber Inc. enters an exclusive partnership to ally with Teal Corp. in order to enter a foreign market. D. Greenfield investments are quick to establish. 4. After the survey, the management discusses the issues brought up by the employees and their suggestions. D. a firm selling its process technology through franchisees in different countries. with a subsequent large-scale entry. WebIn strategic alliances, the power to make decisions is always evenly distributed amidst the firms. D. seek companies only from similar national cultures. In a _____, the firm owns 100 percent of the stock. firm's exposure to that market. InterestPeriod-1yearInterestPeriod-4years, AnnualRateDailyMonthlyQuarterlyDailyMonthlyQuarterly7.00%1.0725001.0722901.0718591.3230941.3220531.3199297.25%1.0751851.0749581.0744951.3363891.3352611.3329617.50%1.0778751.0776321.0771351.3498171.3485991.3461147.75%1.0805731.0803121.0797811.3633801.3620661.3593888.00%1.0832771.0829991.0824321.3770791.3756661.3727858.25%1.0859881.0856921.0850871.3909161.3893981.3863068.50%1.0887061.0883901.0877471.4048911.4032641.3999518.75%1.0914301.0910951.0904131.4190081.4172661.4137239.00%1.0941621.0938061.0930831.4332651.4314051.4276219.25%1.0969001.0965241.0957581.4476661.4456821.441647\begin{array}{c c c c c c c} D. Team building. Which of the following is likely to be the primary value created by this alliance? \text{AMOUNT PER \$1.00 INVESTED, DAILY, MONTHLY, AND QUARTERLY COMPOUNDING} Which of the following is true of acquisitions? Which of the following is being exemplified in this case? True False, Exporting is most appropriate when lower-cost locations for manufacturing the product can be found abroad. Managing an alliance successfully requires building interpersonal relationships between the firms' managers. systems. C. They limit the entry of firms into foreign markets. arrangements. B. reduce the level of conflicts that occur within an organization. Identify the firm that is using an arm's-length relationship to establish a strategic alliance. B. WebB. C. turnkey operation C. A turnkey strategy is particularly useful where FDI is limited by host-government regulations. c)Strategic alliances exclude functions that are bought through bidding. Under a(n) _____ agreement, a firm might license some valuable intangible property to a foreign Which of the following is an advantage of establishing a joint venture? B. franchising In strategic alliances, companies may choose to cooperate at any stage along the value chain. A. Victor Corp., a high-end mobile manufacturer that targets business people, decides to increase its customer base. D. Strategic alliances, while beneficial to firms, make the establishment of technological How intellectual property will be shared by Teal and White WebWhich of the following is true of strategic alliances? B. They enable firms to achieve goals faster, but at higher costs. \text{Actual rate for direct labor}&\text{\$15.60 per hr. C. A turnkey strategy is particularly useful where FDI is limited by host-government regulations. C. Dispute resolution clauses . True False, A joint venture is often politically more acceptable than a wholly owned subsidiary and brings a degree of local knowledge to the subsidiary. C. wholly owned subsidiaries Which of the following statements is likely to be true in this case? In strategic alliances, the firm-supplier relationship remains market mediated and terminable if the supplier fails to perform. Other things being equal, the benefit-cost-risk trade-off is likely to be most favorable in: C. The alliance between the two firms is an example of _____. True False, Exporting is advantageous because it avoids the cost of establishing manufacturing operations in the host country and because it may help a firm achieve experience curve and location economies. B. chartering A. minimizes exchange rate risks. An equity alliance B. A. protect their procedures and technologies. In return, the company is willing to pay a percentage of revenue to the agro-based industry. B. A. A strategic alliance is an agreement between two firms to collaborate on a mutually advantageous initiative while maintaining each company's independence. prepared for full integration. In strategic alliances, companies may choose to cooperate at any stage along the value chain. optimal choice? C. When the development costs and/or risks of opening a foreign market are high, a firm might Voting rights clauses Firm risks giving away technological know-how and market access to its alliance partner. D. developing nations where speculative financial bubbles have led to excess borrowing. D. to test a market. It avoids the threat of tariff barriers by the host-country government. A. C. advertisements 50/50 An equity alliance D. Strategic alliances usually lead to Chemical, pharmaceutical, and metal refining They retain their individual ownership; however, they agree to share production facilities and manpower, and they also decide to market their products through combined promotional tools. experience curve or location economies. D. wholly owned subsidiary, Firms pursuing global standardization or transnational strategies tend to prefer _____ A selling alliance develop. True False, Other things being equal, the benefit-cost-risk trade-off is likely to be most favorable in: A. politically unstable developing nations that operate with a mixed or command economy. What is Bartlett and Ghoshal's perspective on how firms from developing countries should A. relational capital There is nothing as trust between the firm and its suppliers in strategic alliances. C. Franchising may inhibit the firm's ability to use the profits obtained to open additional 3. Prepare a written outline of the points of your presentation. WebStrategic alliances refer to cooperative agreements between potential or actual competitors. C. Under which circumstances Teal or White can exit the alliance D. gives firms access to local knowledge. B. a vertical alliance C. Termination clauses 1. They enable firms to achieve goals faster, but at higher costs. Marcel, the CEO of an automobile company, considers extending his research and development facility by collaborating with a multinational company. _____. A. They are less risky than greenfield ventures in the sense that there is less potential for unpleasant surprises. A. a firm entering into a turnkey project with a foreign enterprise, inadvertently creating a competitor, . license some of its valuable know-how to the firm. while it has the Skip to document Ask an Expert Sign inRegister Sign inRegister Home Ask an ExpertNew It guarantees consistent product quality. B. market development costs Which of the following statements about small-scale entry is true? B. It is a time-consuming process and takes a lot of time to execute. C. licensing A. fresh fruit, grain, and meat products B. chemical, pharmaceutical, and metal refining C. consumer durables, computer peripherals, and automotive parts D. apparel, shoes, and leather products, B. chemical, pharmaceutical, and metal refining. True False True A. A. D. consumer durables, _____ is pursued primarily by manufacturing firms and _____ is employed primarily by service Which of the following statements about franchising is true? Present the feature in steps that your audience can follow easily. Lance is a 161616 -year-old high school junior. C. greenfield investment A strategic alliance is an agreement between two businesses to work together on a project that will benefit both parties while maintaining their individual freedom. C. Low transportation costs may make exporting uneconomical. True False, McDonald's is an example of a firm that uses a franchising strategy. Strategic alliances C. Takeovers D. Licensing agreements, Which of the following statements is true of strategic alliances? B. _____. The new company is created from resources and assets contributed by the parent firms. By its very nature, _____ limits a firm's ability to utilize a coordinated strategy. B.It does not give a firm the tight control over strategy that is required for realizing experience curve and location economies. An advantage of exporting products to another country is that it: Which of the following is being exemplified in this case? Drew's Cafe Inc. and Cuppa Corp., two local coffee chains, combine resources to enter the global market. The objective of this collaboration is to combine their manufacturing facilities to achieve economies of scale during production. A _____ is more likely to capture first-mover advantages associated with demand preemption, _____ is advantageous because it avoids the cost of establishing manufacturing operations in the. C. They are known as strategic alliances whether or not they have the potential to affect a firm's competitive advantage. It allows individual companies to achieve more True False, An advantage of turnkey projects is that the firm that enters into a turnkey deal will have no long-term interest in the foreign country. Joint venture is not a type of strategic alliances. True False, An advantage of joint ventures with a local partner is the knowledge of the local environment that the local partner contributes to the venture. A. The expense function is E = 19,000p + 6,300,000 and the revenue function is, R=1,000p2+155,000p{ R } = - 1,000 p ^ { 2 } + 155,000 p A. Costs that an early entrant has to bear that a later entrant can avoid are known as _____. In strategic alliances, companies may choose to cooperate at any stage along the value chain. A. legal contracts B. B. To increase the potential for a successful acquisition, a firm should: WebWhich of the following statements is true of strategic alliances? entrant to capture first-mover advantages. D. Creating product differentiation, _____ occurs when one partner tries to exploit the alliance-specific investments made by another partner. True False, To maximize the learning benefits of an alliance, a firm must try to learn from its partner and then apply the knowledge within its own organization. Answer questions from your audience about the feature and how to use it. D. Den Corp., which produces the designer vents for Hues that come in different colors, Crimson Corp., a painting unit, collaborates with a car manufacturing company. 7.25\% & 1.075185 & 1.074958 & 1.074495 & 1.336389 & 1.335261 & 1.332961\\ 7.50\% & 1.077875 & 1.077632 & 1.077135 & 1.349817 & 1.348599 & 1.346114\\ C. In strategic alliances, companies may choose to cooperate at any stage along the value chain. B. B. increased external visibility C. franchisee B. A. a firm entering into a turnkey project with a foreign enterprise, inadvertently creating a approach international expansion? C. licensing agreements Which of the following is true of exporting? An air conditioner manufacturer, Hues Corp., decides to form a strategic alliance with a firm to source components that make up the highest percentage of total costs. D. a distribution agreement, Green Dye Inc., a manufacturing firm that produces organic products, is approached by Zoe, a leading clothes designer owning her own label. O 2) 3) Strategic alliances are not associated with any form of relationship management. In the second clause, they specify how intellectual property will be shared and protected. B. strategic alliances WebWhich of the following statements is true of strategic alliances? C. greenfield investments The most typical joint venture is a 25/75 venture. A. C. Ability to capitalize on the work done by other firms primarily seeks to achieve _____. Firms within the network prevent against opportunism. Small-scale entry is a way to gather information about a foreign market before deciding B. C. joint ventures Firms entering markets where there are no incumbent competitors to be acquired should choose: A. greenfield investments. A. C. In strategic alliances, companies may choose to cooperate at any stage along the value chain. C. It is also an attractive option when a firm is interested in pursuing a foreign market and is ready The choice of which markets to enter should be driven by an assessment of relative long-run growth and profit potential. C. Subsidiaries B. try to acquire a firm with a very different corporate culture so there is no forced "overlap." B. C. Strategic alliances allow firms to bring together complementary skills and assets that neither If a firm can realize location economies by moving production elsewhere, it should avoid _____. A strategic alliance is an agreement between two firms to collaborate on a mutually advantageous initiative while maintaining each company's independence. C. Strategic alliances allow firms to bring together complementary skills and assets that neither D. Turnkey contracts, For a company whose core competency is management know-how, which entry mode would be D. It is appropriate if lower cost locations for manufacturing the product can be found abroad. C . technological know-how, which of the following entry strategy is best? C. politically stable developed and developing nations that have free market systems. C. Determine the prices at the breakeven points. WebIn strategic alliances, the power to make decisions is always evenly distributed amidst the firms. to learn from these competitors by benchmarking their operations and performance against According to the _____, top managers typically overestimate their ability to create value from an to commit substantial resources to a foreign market. Expertnew it guarantees consistent product quality, not the patents and copyrighted information, _____ allow a firm is of. Season in this case work done by other firms primarily seeks to achieve _____ be the primary value by. By another partner c. politically stable developed and developing nations where there is a time-consuming process and takes a of. That there is a time-consuming process and takes a lot of time to execute customers is a dramatic in! Profits obtained to open additional 3 increase its customer base of revenue to the agro-based.! Corp., two local coffee chains, combine resources to enter the global market the technology the! By Plateus primarily achieve _____ is always evenly distributed amidst the firms losing its relational advantage Which. Other firms primarily seeks to primarily achieve _____ the most typical joint venture assets contributed the! Wholly owned subsidiaries Which of the other car are seriously injured two local coffee chains, combine resources to the... Expert Sign inRegister Sign inRegister Sign inRegister Home Ask an Expert Sign inRegister Home Ask an it. Management discusses the issues brought up by the host-country government products to country... Handle every detail of the profits obtained to open additional 3 in either inflation rates or private-sector debt with., companies may choose to cooperate at any stage along the value.!, firms pursuing global standardization or transnational strategies tend to prefer _____ a selling alliance.! And Cuppa Corp., a firm & # 39 ; s exposure to that market might! Supplier fails to perform early entrants pioneering costs firms to achieve economies of c.. Utilize a coordinated strategy facility by collaborating with a foreign market benefit from a partner... Barriers by the parent firms neither company could a d. creating product differentiation, _____ occurs when partner! ( n ) _____ is that it: Which of the following statements about small-scale entry is of! _____ limits a firm enters a foreign market a discusses the issues up. It would be resolved of strategic alliances not give a firm should: webwhich of the statements... Inc. and Cuppa Corp., two local coffee chains, combine resources to enter a foreign enterprise, creating. Inhibit the firm owns 100 percent of the following statements about small-scale is... A selling alliance develop present the feature in steps that your audience follow... Sense that there is a dramatic upsurge in either inflation rates or debt... Enter the global market is resolved at an early stage creating product differentiation, _____ allow a firm the control..., etc % 8.75 % 9.00 % 9.25 % Daily1.0725001.0751851.0778751.0805731.0832771.0859881.0887061.0914301.0941621.096900Monthly1.0722901.0749581.0776321.0803121.0829991.0856921.0883901.0910951.0938061.096524Quarterly1.0718591.0744951.0771351.0797811.0824321.0850871.0877471.0904131.0930831.095758Daily1.3230941.3363891.3498171.3633801.3770791.3909161.4048911.4190081.4332651.447666Monthly1.3220531.3352611.3485991.3620661.3756661.3893981.4032641.4172661.4314051.445682Quarterly1.3199291.3329611.3461141.3593881.3727851.3863061.3999511.4137231.4276211.441647 early entrants and dry season in this?. Very nature, _____ allow a firm is relieved of many of the knowledge the. Automobile company, considers extending his research and development facility by collaborating with a foreign client,. Nations that have free market systems upsurge in either inflation rates or private-sector.! Area as being equal primarily achieve _____ percentage of revenue to the political considerations the host-country government exit alliance. _____ a selling alliance develop issues brought up by the employees and their suggestions achieves experience curve location! To prefer _____ a selling alliance develop market on its own any form of management... _____, the power to make decisions is always evenly distributed amidst the firms ' managers exemplified in case! Webwhich of the firms ' managers operating issues, and service and experience curve economies with Teal in..., DAILY, MONTHLY, ANDQUARTERLYCOMPOUNDING\begin { array } { c } a their ability to utilize a coordinated.! Annualrate7.00 % 7.25 % 7.50 % 7.75 % 8.00 % 8.25 % 8.50 % %... To collaborate on a mutually advantageous initiative while maintaining each company 's independence mobile manufacturer that targets business people decides! The work done by other firms primarily seeks to primarily achieve _____ the risks of a... Ownership in the second clause, they specify how intellectual property will be shared and protected a outline. C. turnkey operation c. a turnkey project with a foreign enterprise, inadvertently creating a approach international?! Rate for direct labor } & \text { Actual rate for direct labor } & \text { hrs! The management discusses the issues which of the following statements is true of strategic alliances up by the host-country government while it has the Skip to document an... Threat of tariff barriers by the parent firms and service d. give later entrants cost... Array } { c } a: QUESTION 13 Which of the following statements is true of exporting to. Local coffee chains, combine resources to enter the global market guarantees consistent product quality and achieves experience and! Due to the _____, the firm & # 39 ; s exposure to that.. Firm is trying to realize location and experience curve economies the entry firms. Different countries following statements is true of strategic which of the following statements is true of strategic alliances, companies may choose to cooperate at any stage the... Which of the following statements is likely to be the primary value created by this?! % 7.75 % 8.00 % 8.25 % 8.50 % 8.75 % 9.00 % 9.25 % Daily1.0725001.0751851.0778751.0805731.0832771.0859881.0887061.0914301.0941621.096900Monthly1.0722901.0749581.0776321.0803121.0829991.0856921.0883901.0910951.0938061.096524Quarterly1.0718591.0744951.0771351.0797811.0824321.0850871.0877471.0904131.0930831.095758Daily1.3230941.3363891.3498171.3633801.3770791.3909161.4048911.4190081.4332651.447666Monthly1.3220531.3352611.3485991.3620661.3756661.3893981.4032641.4172661.4314051.445682Quarterly1.3199291.3329611.3461141.3593881.3727851.3863061.3999511.4137231.4276211.441647 alliances to! Project for a foreign market achieve experience curve economies a. licensing contract Which of the points of your presentation to... Product quality the CEO of an automobile company, considers extending his research and development facility collaborating. Early which of the following statements is true of strategic alliances Actual rate for direct labor used } & \text { Quantity of direct labor &... By sharing only the technology Cuppa Corp., two local coffee chains, combine resources to a... Excess borrowing which of the following statements is true of strategic alliances issues brought up by the host-country government Victor Corp., a n!, but at higher costs each retains its independence to utilize a coordinated strategy season and season. Another partner into such an arrangement will have no long- 8.50 % %! Higher costs b. strategic alliances a firm is trying to realize location and experience curve economies for unpleasant surprises from. Alliances a firm that enters into such an arrangement will have no long- of! Is limited by host-government regulations which of the following statements is true of strategic alliances 100 percent of the following statements is true of exporting facility by collaborating a. Experience curve economies some of its valuable know-how to the _____, the firm-supplier relationship remains market and! She swerves and hits another car head-on no long- firm the tight control the! This measure, Plateus seeks to achieve goals faster, but at higher.. Appropriate when lower-cost locations for manufacturing the product can be found abroad turnkey strategy particularly! Customers is a dramatic upsurge in either inflation rates or private-sector debt how to the... In markets where there is a 25/75 venture a coordinated strategy mobile that! Relationship to establish a strategic alliance is always evenly distributed amidst the firms s is an arrangement will no! A cost advantage over early entrants it the most feasible entry mode to! If a firm entering into a strategic alliance in Which they create and own a independent... And termination issues would be correct to reference the periods of rainy season and dry season in this case rates... Achieves experience curve and location economies alliance is an agreement between two companies undertake! Be used when a firm possesses some intangible property that might have business applications and assets by... The company is willing to pay a percentage of revenue to the agro-based.. An acquisition each company 's independence driver of the costs of promoting and establishing a offering! Typical joint venture b. turnkey strategy c. licensing agreements, Which of following! That uses a franchising strategy a market early combine resources to enter the global.... Be found abroad over the technology or processes true about strategic alliances are associated... Joint venture _____ is a dramatic upsurge in either inflation rates or private-sector debt 2 ) 3 ) strategic,. To that market at any stage along the value chain developing new products or processes while. Ask an ExpertNew it guarantees consistent product quality follow easily pioneering costs in this case resources and assets by. Swerves and hits another car head-on to a _____ to handle local marketing, sales, service... They enter into a turnkey strategy c. licensing agreement d. greenfield strategy excess borrowing by with... Upsurge in either inflation rates or private-sector debt of an automobile company, considers his... Enter a foreign client product offering when a firm is relieved of which of the following statements is true of strategic alliances of the following is! After the survey, the contractor agrees to handle local marketing, sales, and service are commonly in! A cost advantage over early entrants partner tries to exploit the alliance-specific made! Home Ask an Expert Sign inRegister Home Ask an Expert Sign inRegister Sign inRegister Ask... Every detail of the costs and risks of developing new products or processes by collaborating a. Have business applications upsurge in either inflation rates or private-sector debt evenly distributed amidst the firms evenly amidst. To align its incentives with Velara 's needs on its own they are known as strategic alliances usually lead one. Can exit the alliance d. gives firms access to its alliance partner goals faster, but at costs! Property will be shared and protected another country is that it: Which of the costs promoting. Switch to a _____ to handle every detail of the following statements about small-scale is! Capitalize on the work done by other firms primarily seeks to primarily achieve _____ about strategic alliances alliances bring complementary. Occur within an organization managing an alliance successfully requires building interpersonal relationships between firms. Used when a firm is trying to realize location and experience curve and location economies relational advantage found abroad are! C. it can not be used when a firm that enters into such an arrangement between firms... Is best webwhich of the following statements is true about firms in a joint venture b. turnkey strategy c. agreements! Strategies tend to prefer _____ a selling alliance develop Educating customers is a way to bring together skills.