This strategic alliance agreement is recognized and approved by both parties. One of a company`s main goals is to maximize profits at a lower cost. There are several methods, and one of them is to engage in a strategic alliance. In a Harvard Business Review study, the number of strategic cooperations between companies increases by a quarter each year. A successful partnership also contributes one-third of a company`s annual profit. In addition to the benefits guaranteed by this method, this article contains other details that allow you to determine if this method complies with your company`s requirements. PandaTip: Strategic alliances require that both parties be able to communicate and make decisions quickly. In this section of the proposal, both parties must designate a person who will be able to act on their behalf in matters related to the strategic alliance. The partnership between Starbucks and Barnes and Noble is a strategic alliance that has withstood the present day. Barnes and Noble was faced with the problem that all physical retail stores faced. The emergence of online shops has been a threat to most brick and mortar stores, regardless of their product. In the middle, the bookstore decided to mate with coffee which, in most areas, was a staple -Starbucks. It was a game in the sky.
The imagination of a book lover on a beautiful afternoon is one with books and a good cup of Joe. With the strategic alliance of companies, the scenario remains only imagination. Almost all Starbucks sites have Beech Maintenance of Barnes and Noble. The ingenuity of this partnership attracted more customers and encouraged them to stay longer because of its warm atmosphere. The bookstore has withstood the crisis, because no online store can offer the appeal and comfort of the alliance. At the conclusion of this agreement, all previous agreements between the parties, either in writing or oral, are considered invalid. Once you choose a particular company you want to partner with, it`s time to figure out how to navigate the partnership. You can decide what methods and techniques to use to make the alliance work.
An important decision for each organization is to choose the types of information to disclose. Contrary to what is commonly said, full disclosure of sensitive company information is not necessary for a partnership. Each organization can filter out the details it reveals and ensure that the data provided is essential to achieving the common goal. If the terms of this agreement are replaced, all other conditions remain in full force and are not amended. The ideal first step before the strategic partnership is to analyze how your business works. A simple SWOT analysis could lead to conclusions that can help you find the ideal companies you can work with. A list of your company`s strengths can help you build your pitch while you`re looking for a partner. Details of the organization`s weaknesses and threats will help the company maintain its image.
The most important thing is that a list of viable opportunities can serve as the basis for the company`s goals. These objectives then form the basis for companies in partnership with other organizations. On the other hand, long-standing strategic alliances develop a dependent relationship. Both parties are more dependent on each other. The alliance thus loses its strategic lead and becomes a traditional business partnership. Like all major business decisions, strategic alliances can either make or break a business. You now have the knowledge to decide whether your organization is capable of forming a strategic alliance. You can use these prefabricated templates and examples to start your process.