Business Studies Paper

Question

Answer both questions. Read attached files first.

Instructions:

Bus 499 Week 7 Dis 2 Cooperative Strategy” Please respond to the following:

A. From an ethical perspective, determine how much information a firm is obliged to tell a potential strategic alliance partner about what it expects to learn from the cooperative arrangement. Explain your rationale.

B. Determine which type of cooperative strategy would most benefit the two companies you researched. Provide specific examples to support your response. I researchedGoggle and Amazon

Answer

Cooperative Strategy

Question A

A cooperative strategy is one in which firms work together to achieve a common objective. A strategic alliance is a form of a cooperative approach between companies where the firms combine their resources or share information to gain a competitive advantage in their respective markets. Information sharing is one of the factors which guide this strategy, and it can be limited to matters relating to the agreement (Grant, 2016). Companies involved in the contract do not have to disclose information that would be irrelevant to the partnership. Nevertheless, it is vital that the parties commit to what they said they would deliver at the beginning of the alliance (Dohmen, Kryvinska& Strauss, 2014). The primary reason information should be restricted to its relevance is because some information would also affect the company’s performance more so when the coalition is done within the same industry.   

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Question B

Google and Amazon would benefit most from a Nonequity Strategic Alliance. In this type of strategy, both parties benefit from sharing their unique resources which in this case would be online accessibility acting as an avenue to sell goods for both Google and Amazon (Albers, Wohlgezogen&Zajac, 2016). Both companies could benefit from having high sales for products on Amazon and Google Express through having recommendations on goods within the two markets for Google users. Google would benefit from having more delivery points for goods bought online. On the other hand, Amazon would grow its online market through tapping into the Google user clients. Both companies would benefit from the increase in customer share which could foster diversification of products to ensure that competition between the two parties is not direct. In addition, Google would grow the awareness of Google Express in the market thus guide the development of this part of the company.  

References

Albers, S., Wohlgezogen, F., &Zajac, E. J. (2016). Strategic alliance structures: An organization design perspective. Journal of Management, 42(3), 582-614.

Dohmen, P., Kryvinska, N., & Strauss, C. (2014). Viable Service Business Models Towards Inter-cooperative Strategies: Conceptual Evolutionary Considerations. In Inter-cooperative Collective Intelligence: Techniques and Applications (pp. 273-290). Springer Berlin Heidelberg.

Grant, R. M. (2016). Contemporary Strategy Analysis Text Only. John Wiley & Sons.

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