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The Principal Advantages of Strategic Alliances Over Vertical Integration or Horizontal

Question 9

Multiple Choice

The principal advantages of strategic alliances over vertical integration or horizontal mergers/acquisitions are


A) resource pooling and risk sharing, more adaptive response capabilities, and greater speed of deployment.
B) potential profitability of the alliance and related experience-curve economics.
C) the facilitation of best practices, more production capacity, and relevant synergistic savings.
D) the transactional and relational concept of operating practices and competencies.
E) material additions to a company's technological capabilities, strengthening of the firm's competitive position, and boosting of its profitability.

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