The Main Reason That IBM Is Involved in Multiple Alliances

question 31

Multiple Choice

The main reason that IBM is involved in multiple alliances is to

• A) consolidate a fragmented industry and thus gain market power.
• B) stay on the cutting edge of technology.
• C) capture the intangible resources of competitors in order to gain a competitive advantage against them in the future.
• D) avoid government anti-trust regulations which would apply if IBM were to acquire the firms it allies itself with.

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Definitions:

Value Proposition

A business or marketing statement that summarizes why a consumer should buy a product or use a service.

Customer Needs

The essential requirements and desires that consumers want to satisfy with a product or service.

Competitors' Benefits

Advantages or valuable aspects that competitors offer, potentially attracting customers away from one's own business.

Student-centered Faculty

An educational approach where teaching strategies are designed to meet the needs, interests, and abilities of students.