cooperative strategies Assignment

Added on - 08 Mar 2021

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The casediscusses cooperative strategies of actual situations that crashed for manyreasons, including high costs, competition of rivals, complete absence of proper management andalliance-related dynamics, joint ventures and partnership strategies[ CITATION Bas10 \l 1033 ].The situation is full of important examples including such Cisco and IBM, as well as airline one-word collaboration and Sky Team, which formed an alliance even though they were from thesame division and competed with problems. Another interesting topic was the relationship withDowAksa which is a carbon chemicals firm, but since it has already been in collaboration withanother firm, it has also generated organizational and functional difficulties. The competitionwon by several other rivals in association with wrong collaborators and a weak plan includingthe Red Box and Verizon are also complexities. The case underlines the importance of a properstrategy and implementation; however, the choice ofpartner is far more crucial.Complexities in the creation of joint projects and partnerships collaboration strategiesJoint venture and partnerships may be closely related to work for the growth andperformance of the organization. The joint venture is indeed a long-term agreementwith a largenumber of assets and costs exchanged because the alliance is a scaling agreement[ CITATIONSta17 \l 1033 ]. As discussed in the case of cooperative strategies as well as other problems inJoint Venture and Alliances are as follows:• Internal and external management problems• The associated company's compatibility• Failure to preparea proper strategic objective• Incompetent planning• Organizational culture gap• Unreasonable demand with unsuitable classifications and management
Role of competitors for cooperation strategyCompetition between competitors provides the company with a sense of encouragementand aims to enhance the output for companies which are associated and form alliances with it.Therefore, working together with rivals is better than the industry's greatest rival. Collaborationwith rivals canexternally leadto achievea good reminder and gain customer value[ CITATIONIsm16 \l 1033 ]. However, major factors for its performance should be identified, for examplepeaceful activities, well planned agreements and limitationsin decision making. Canon isKodak's supplier of photocopiers and offers both high quality and benefit, making them stand outfrom companies such asFuji, Nikon etc. in the marketplace.Costs and management for strategic alliances growthAlliances are generally made for increased margins and advantages and the investmentalways pays off. Some of the main expenses involved during the formation of strategicpartnerships are inventory expenses, hard costs like interest rate, insurance and tax expenses;although some soft expenses are layout fees, project management fees and employee trainingexpenses, etc.[ CITATION Dur161 \l 1033 ].These expenses can be administered by aneffective supply chain system to minimize inventory expenses. The time frame for the productand service (the objectives of the alliance) was minimumin the Zara as well as the South-Westairlineand thus cost management can be reduced.Cost minimization versus opportunity maximization as primary goal of cooperativestrategyMinimizing costs eliminates costs by reducing the number of retail customers in abusiness such as lead-time extension, inventory expenditures, equipment of fewer amounts,agreements, etc. whereas maximization of opportunities is a matter of optimizing wealth through
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