An Organization Enters into an Alliance with a Firm That

question 20

Multiple Choice

An organization enters into an alliance with a firm that is positioned at a different stage along the value chain. The alliance is formed to combine unique resources and lower transaction costs. In this case, which of the following alliances has been adopted by the organization?

• A)A profit alliance
• B)A selling alliance
• C)A vertical alliance
• D)A horizontal alliance

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Definitions:

Marketing Research

Identifying a target market and finding out if a product or service matches customer desires.

Deductive Enterprise

The systematic process of applying deductive reasoning to reach conclusions based on premises.

Attractiveness

The quality of being appealing or pleasing in appearance, which can influence social interactions and perceptions.

Business's Success

The achievement of goals and objectives set by a business, often measured by financial profitability, market share growth, or customer satisfaction.