Which of the Following Is Disadvantage of Strategic Alliances

question 11

Multiple Choice

Which of the following is disadvantage of strategic alliances?

• A)They give competitors a low-cost route to new technology and markets.
• B)They do not facilitate entry into a foreign market.
• C)They do not allow for sharing of risks and fixed costs.
• D)They mandate that the companies do not share complementary skills and assets.
• E)They cause problems when it comes to establishing technological standards for the industry.

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Definitions:

Economic Conditions

The state of an economy at a given time, including factors like inflation, unemployment, and GDP growth.

Federal Budget

The government budget for a fiscal year that outlines the projected spending and revenue of the federal government.

Budget Deficits

The condition when a government, organization, or individual spends more money than it receives over a certain period, requiring borrowing to bridge the gap.

Multiplier Effect

An economic phenomenon where an initial injection of spending leads to increased income and consumption, further amplifying the initial economic impact.