International Strategic Alliance in Business Management

This report discusses the concept of international strategic alliances in business management, focusing on the benefits, challenges, and motivations behind such alliances. It also explores alternative market entry strategies and their implications. The report analyzes the literature related to the use of international strategic alliances in foreign market expansion and provides insights into the key factors influencing the formation of these alliances. The case study of Star Alliance is used to illustrate the practical application of international strategic alliances in the aviation industry.

Individual academic
report, international
business

EXECUTIVE SUMMARY
The international strategic alliance has helped both parties to effectively and efficiently
achieve the specific goals and goals of the company's management. The partner has created a
new co-ownership organization. The government is buying capital with others. Affiliates are
often referred to as contract links. All aspects of the strategic alliance are the same as the rest of
the cooperation. A key role is involved in making a viable partnership, where the most difficult
task is to develop the strategic character of an alliance. This is difficult because it is necessary to
establish the requirements of different cultures and management practices.

Contents
EXECUTIVE SUMMARY.............................................................................................................2
INTRODUCTION...........................................................................................................................4
LITERATURE REVIEW................................................................................................................4
Demonstrate a critical review of the literature related to the use of international strategic
alliances in foreign market expansion.........................................................................................4
Demonstrate an understanding of the motivations behind the formation of the selected
International strategic alliance.....................................................................................................5
A critical assessment of the benefits and challenges of the international strategic alliance
selected to the partners involved..................................................................................................6
Propose a suitable alternative market entry strategy in your recommendations.........................6
Analysis and discussion...................................................................................................................7
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
The term international strategic alliance is termed as the agreement between two companies to
cooperate and coordinate with each other with the purpose of the manufacturing, development,
or sale of products and services, or other business objectives. In this section Organisation X and
Organisation Y get together as per their key resources, capacity, and core competence to create
correlative involvement in designing, producing, and distributing products and facilities. The
management considers in this report is Star Alliance. It is the world's largest global airline
alliance (Ulla, and Tarrayo, 2021). As per other airline alliances, Star Alliance airlines also
share some portion of their airport terminals and other members will also coordinate as per their
airline alliance's livery. They already set their targets in the business like "an alliance that will
take travelers to each leading center as globally. A lot of companies had joined Star Alliance's
like the Austrian Airlines Group (Austrian Airlines, Tyrolean Airways) united on 26 March
2000. The international strategic alliance has helped both partners to attain their objectives and
orientated targets in the business of management as effectively and efficiently. The partners
create a new united-owned organization. The management acquires equity with others. As
frequent the link is termed by the contract. Various aspects of strategic alliances are the same as
other sections of partnering. The major roles relate to the higher form of difficulty of attaining a
viable partnering relationship or developing the strategic nature of an alliance. It is challenging
to perform because of the necessity to fix the requirement of various cultures and managerial
activity.
LITERATURE REVIEW
Demonstrate a critical review of the literature related to the use of international strategic
alliances in foreign market expansion.
According to the opinion of (Pilotti, 2021), a lot of organizations are decided to perform at
a global level and enters the multinational field of the area where they might have a variety of
choices by which they select or choose the higher term of the profit in the business of
management. The manner of the internationalization approach can be termed as various
tendencies to create the deal with management. The business can decrease the factor of the risk
that is related to the sort of elements as related to the business. The quick maximization in the
multinational firm of business and external trade of the economic transactions as per the

expansion in the multinational field of banking. It has been identified that the maximization in
both fields of sectors with the number of acquisitions of external banks and the number of
acquisitions of foreign banks and the standard of action of external division. Internationalization
is the large impulsive section that will lead to the basic orientation of the trend for improving the
amount of business of management by functioning as per to their home nation. With the manner
of internationalization, there is a low section in trade obstruction that makes performing in the
organization as easier. As it is also termed as an important aspect for the business or the
international strategic term of the business that are co-related with the variations in the business
as effectively and efficiently. With the sort of the manner, several partnership sections will allow
the access key term of the skills and resources of another term of the organization in respect to
such partnerships that will allow access to skills and resources of other organization to modify
the management's competitive plan of actions as effectively. The key factor of the partnership
sections that are created as an effective plan of action to remove or decrease the number of skills
and resource disparity that is encountered in the global field of the market as effectively. By
developing strategic alliance relationship it will provide access term to the new market share for
maximization to the unveiling sections to motives the sharing term of the research and growth,
manufacturing and the marketing value of the cost of values, narrowing the goods line/filling
merchandise and acquiring new abilities as effectively in the business of management.
Demonstrate an understanding of the motivations behind the formation of the selected
International strategic alliance.
According to the opinion of (Shaaban, and Reda, 2021), the motivations behind the
formation of the Star alliance's international strategic alliance are the diverse section of factors in
the business of management. For establishing the traditional section of the multinational business
in the market, business people apply several plans of action. As the term of motivation is refers
to the manner of the motive of the business. The developing multinational field of the market is
becoming an orientation development by alliances with their international key holders. As taking
to the risk issues and wasting their time and financing a large sum on the economic sections for
maximizing the benefits in management. Hence, they might be the part of the market in which
they want to get enter and the basic manner after this is to share a key section of knowledge,
abilities, and expertness to maximize the marketing benefits in the world as effectively.

A critical assessment of the benefits and challenges of the international strategic alliance selected
to the partners involved.
According to the opinion of (Cohen, and et.al., 2021), the manner of the benefits and
challenges of the international strategic alliance to the partners that are involved in it. Strategic
business alliances might be highly advantageous to developing the business organization and
providing a sort of possibilities to maximize the aspect of the brand by the partner's orientation
and prospective to provide auxiliary facilities to present alternatives. As there is a sort of the
benefits in the business of management like access to supplementary facilities that are termed to
be most beneficial section of the business that serves various chances to their consumers. The
alliance allows the business and their employees to provide facilities that have concentrate on the
manner of specialized facilities as effectively. It also increases the brand awareness that will
have opportunities in the business. As they also have a lot of changes in the business to deal with
several potential challenges. It defines the manner that has basic challenges in business like
selecting adequate candidates might be destructive for business as it will not be capable to
contribute to the development of the management and will offer the level of dedication, loyalty,
and unity to the business organization. Developing a mutually beneficial alliance is also termed
as a challenge of entering into a strategic alliance to ensure that the business organization will
have key advantages as effectively and efficiently. It is an important section for knowing the
strategic business alliances that might be the further step in the development and marketing
enterprise. It will also maximize the brand awareness and the skills to reach the new field of the
market that will provide a good secondary facility to their consumers, but there are various
sectors of risk factors that will include the relationship that might be formulated as effectively.
Propose a suitable alternative market entry strategy in your recommendations.
According to the opinion of (Ebbini, 2021), there are a lot of manners by which the
organization will enter the foreign section of the market as effectively. As the market entry plan
of action will perform their orientation with the direct commercialism that might be the most
suitable plan of action at the market place that are also effective in another form that requires to
form the cooperative section of speculation and also the other that might be well licensed to the
manufacturing. As there are a lot of factors that will influence the respective choices of the plan
of action that involves the basic orientated manner. It will include the factors that have an impact
on the choices of the plan of actions that will maximize the value of cost that are termed to be

maximized in sales will outset of such values. The term of market entry strategies will involve
direct exporting that are the basic set of the selling sections into the market will utilize the
resources. Various sort of companies has been created their sales program that will represent
their involvement in the business of management. Secondly, licensing is a comparatively well-
informed plan of action in which the business of management conveys their rights with the
utilization of the goods and facilities to other sections of the field. It is termed to be an essential
manner of the plan of action that is especially a multipurpose manner of the plan of actions if the
buyer of the license that has the comparatively have the large section of the market share in the
market that wants to enter as effectively and efficiently. Licenses might be for commercialization
or presentation (Luke, Prentice, and Fleeson, 2021). They have the orientated procedure for
quick marketplace enlargement for maximizing and increasing managerial productivity and
profitability. Franchises work in the definite manner of the task for the business of management
that have the key roles in business. As on the other side, partnership and coordinating is also
important section for the business to perform managerial functions and operations in the
business. The manner of the partnership is several sectional fields of the form, by which
managerial marketing field of the arrangement will get distinguish for more sectors. Strategic
alliances are also essential in the marketing field of management that deals with several
arrangements in business. The manner of the partnership is generally termed as the sectional
field of the plan of actions in which markets have collaborated with several cultures that could be
social and business. Another aspect for buying the company might be termed to be frequent for
the present set of the local sectional field of the business. It is due to the business arrangement
that has the substantial field of the market share that are the alternative competitors in the
business at the marketplace.
Analysis and discussion
Demonstrate a critical review of the literature related to the use of international strategic
alliances in foreign market expansion.
 Single Local Alliance – The business of management might get establish an alliance
with the local term of the partner from which they can get speed up to the new foreign
market condition (Umar, Rizvi, and Naqvi, 2021). The basic set of aim for the new
entrants in an international or multinational form of marketing is to approach the term of
the investment of its assets, application, or goods in simultaneousness with the section

partner that has given their key source of knowledge of the activity and various
approaches to a statistical distribution.
 Multiple Local Alliances – It is termed as the business of management that deals with
the managerial functions and operations with several other multiple fields of the area of
the marketplace (Enkhtaivan, Brusa, and Davaadorj, 2021). As the foreign aviation
sector of the companies is entering in the viable sector of the markets that are main
purposes by the local channel of partners. The basic set of the situation in this sort of
planning is having to deal with several manners of relationships.
 Single Global Alliance – It is termed as to follow the basic output set of how a single
field of the foreign aviation services get incorporated as per to the basic output sources as
effectively and efficiently in the business (Antonova, Ruiz-Rosa, and Mendoza-Jiménez,
2021). It deals with the sort of outputs that have the quality of sources with global
manner.
 Multiple Global Alliances – It is termed as the manner of the joining of the forces with
another field of the same size and market in the presence of the sectional area in the
foreign nation that is almost present in the business of management that is to be the part
of the multiple global strategic alliance.
Demonstrate an understanding of the motivations behind the formation of the selected
International strategic alliance.
The business of management utilizes the key term of the strategic alliances in the
following manner that are as follows –
 The key orientation of the scope and speed in the activities of the business are termed to
be an important part of the field.
 The attainment of several sorts of the benefits of balance in the international field of the
market as effectively.
 The maximization of the market penetration between other corporations is wisely to be
effective and efficient for a longer period.
 The maximization of the competitiveness in the national and worldwide field of the
market.
 The improvement of the growth of the good as by sharing the abilities, sense of
knowledge, expertise and many more in the business.

 By the progressive term of the new commercial chances by new goods and facilities to
make it more viable at the world market field.
 By enlarging the basic section of the market growth as fast and rapidly at the market
place.
 They maximize the series of exports.
 They expand as per their needs.
 They develop a new section of the management.
 They advance the manner of the benefits in the value of the cost.
 They create a sort of diversification into the new form of the market as effectively.
 They will also enhance the manner of the cash flow.
 They also can change rapidly.
The basic key term of the motivation after the maximization of the international strategic
alliance will not just improve the profit but will also enhance productivity as effectively (Klarin,
and Sharmelly, 2021). As there are a lot of factors that have the motives in the business-like –
 Competition in between to the competitors as effectively by which the best will sustain in
the field of the market for a longer period.
 The marketplace is the place where the key dynamic period is changing as fast as it can in
the business with the purpose of success.
 They have the high form of the merging sections in the business of management.
A critical of the benefits and challenges of the international strategic alliance selected to the
part assessment news involved.
The manner of the strategic alliance in the business defines the absolute role in the business
with a suitable role of leadership and resources for a higher key term of profitability and
productivity in the management (Ostapchuk, Gagalyuk, and Curtiss, 2021). The benefits of the
international strategic alliance are as follows –
 Gain new client base and add competitive skills – By increasing the new consumer
base in the business, it will be easy for the management to deal with them with an
appropriate set of online techniques and as well as offline techniques.

 Create different sources of additional income - It is also termed to be the part of extra
source of revenue in the business by performing same functions for others and getting
profit from sides.
 Level industry ups and downs - It is an economic cycle of the business that involves
several ups and downs with the key manner of business orientation in the management.
 Build valuable intellectual capital – It creates a lot of valuable intellectual capital for
more sectors in the business by which it deals with various forms of the period.
 Reduce risk – It will reduce the section of the risk and issues in the business of
management by setting a restriction that has the basic sector of orientation in the manner
of the organization (Davison, 2021).
 Gain new resources and improve existing resources – They can increase their
resources and will also enhance the present set of the resources in the business by
performing well suitable manner of functions and operations as effectively and efficiently
in the field of the market.
The challenges of the international strategic alliance are as follows –
Because they also have a lot of business opportunities to solve various potential
problems. This identifies a fundamental problem in the business. For example, selecting the right
candidates does not promote leadership development and can be harmful to the business because
it brings a certain level of commitment, loyalty, and consistency to the business organization. By
building formal alliances is known as a matter of engaging in strategic alliances so that business
organizations can have significant advantages effectively and efficiently. This is an important
part of understanding strategic business alliances and can be another step in business
development and marketing. It also maximizes brand awareness and skills to enter the new field
of the markets and provides consumers with excellent ancillary facilities, but several risk factors
exist, such as relationships. The system can be built efficiently.
Propose a suitable alternative market entry strategy in your recommendations.
Strategic alliances are also essential in the field of business marketing, which handles many
commercial transactions (Cumming, and Leung, 2021). Collaborative approaches are often
considered part of a business plan, allowing markets to collaborate with different cultures to be
social and business. Another aspect of a company's purchase can be characterized by what is
routine in the regional division of an existing business (Romaniuk, and Łukasiewicz-Wieleba,

2021). Trade agreements have a large market share that is an alternative candidate for companies
in the market.
CONCLUSION
From the above-mentioned report, it has been concluded that the business of management
deals with the sort of issues and problems in running of an organization. Strategic alliances are
the sort of valuable device for the business that requires to enter the new section of the market.
They are specifically multipurpose for the role of purpose of the managerial possibilities as to be
high, unsure and marking rates to the market are important. In such a manner of the situation, the
strategic alliance creates the manner of the orientation that will provide a lot of sections in the
business. Market entry, is also an important aspect for dealing with and coordinating the
managerial operations and functions in the business. The basic orientated manner of the strategic
alliance will depend on the business of management and its strategic aims of the targets. It also
depends on the manner of the new market sections, business management has sources of
advantages and disadvantages in competing with the local sections and the orientated values that
are given by the market output sections as effectively. In such a case, local alliances will help to
offers the marketing knowledge of the market that will facilitate the distribution of the goods and
services or facilities as effectively.

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