Which of the Following Is a Disadvantage of Strategic Alliances

question 12

Multiple Choice

Which of the following is a disadvantage of strategic alliances?

• A) They are the most expensive among the investment entry modes.
• B) They increase the likelihood that one partner will try to take advantage of the other.
• C) They create future competitors.
• D) They fail to tap into their competitors' specific strengths.

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Definitions:

Traditional Delivery

This term refers to conventional methods of delivering goods or services, such as mail or in-person services, as opposed to digital or automated solutions.

Electronic Marketing

Utilizing digital platforms and technologies to promote products, services, or brands to potential customers.

Industrial Distributor

A business that purchases goods directly from manufacturers and sells them to companies, usually in large quantities for industrial use.

Global Broker

An intermediary who facilitates international transactions and investments between parties from different countries.