International Strategic Alliances in Airline Industry

INDIVIDUAL ACADEMIC REPORT

Table of Contents
INTRODUCTION.....................................................................................................................................3
LITERATURE REVIEW.........................................................................................................................3
ANALYSIS AND DISCUSSION..............................................................................................................6
RECOMMENDATION.............................................................................................................................9
CONCLUSION..........................................................................................................................................9
REFERENCES........................................................................................................................................11

Executive summary-
In the world of business, the competition between each company is increased day by day
as they tent to obtain competitive edge. In term of strategies, they develop plan to enter into
foreign market. The current study is based on Airline industry that has utilized bilateral
international strategic alliance strategy or approach which made it capable to enter into profitable
nations where it has increased productivity and gained key advantages. Furthermore, from
current report it has been determined that by developing effective methods and considering
alternative options, management has overcome the challenges of global strategic alliance.

INTRODUCTION
International strategic alliance defined as effective collaborative contract that made
between companies main headquarter in varied nations. It helps to engage a firm into more than
one activity, which made it able to grow their business successfully and continually. It is one of
the most beneficial ways that organizations adopt and use as longer as they tend, in order to
increase profitability and gain market share. By using appropriate global strategic alliance, a firm
obtain several benefits. The current assignment will be based on Airline industry, which falls
under the category of top profitable and progressive industries in the world. Chosen sector put
several attempts to make their passengers happy and enhance their satisfactory level even better
than last visit or travel. It contributes to do so in term of providing better aviation services and
offering meals according to taste preferences and health concerns. It supports individual to reach
at one location to another destination. The study will explain use of and motivations behind
development of international strategic alliances in foreign market expansion. Furthermore, lastly
the report will justify challenges and advantages of global strategic alliance to partners included.
It will clarify appropriate alternative market entry tactic in suggestions.
LITERATURE REVIEW
According to, PARK, (2020) foreign market expansion is the biggest and most important
decisions that made by varied companies. It is a kind of procedure which drive the attention of
firms towards taking their ventures into new market, where they may earn a lot of profits and
gain unexpected advantages. In order to do so, international strategic alliances may utilize by
organizations, which is quite beneficial for them. It may successfully establish when individual
brand tends to benefit into a similar business or new geographic market, especially one where
national and local authority prohibits imports to prevent domestic sector. Each alliance may
usually form between two or more organizations which base on their home nations for a definite
duration of time. It may be distinguishing into numerous dimensions such as collaboration
activities, licensing, management service, joint venture, manufacturing and franchising. These
are the most common ways that a firm may select while taking decision and use in the context of
abroad expansion process and activity. In term of international alliance above tactics used by
companies in appropriate and systematic manners, for which management may take varied
initiatives such as proper planning, execution, managing and controlling plans.