GMS 520 Chapter Notes - Chapter 7: Global Sourcing, Guanxi, Bamboo Network
10 May 2016
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Strategic alliance: partnership that pursues mutual goals as well as offers distinctive competitive advantages. aka. cooperative strategies. They"re also transition mechanisms that propel a firms strategies into turbulent environments faster than they would alone. They require overall policies, administrative responsibilities and organizational schedules throughout. (most significantly affected by leadership!) Joint venture: new independent entity collectively owned and created by parent companies. (ijvs use control process to ensure that the mgmt. of the jv adheres to their own interests and goals). Choice of partner is most imp, and shouldn"t be rushed (like a marriage, issues need to be solved pre-merger). Knowledge mgmt: how the firm integrates skills learned by its employees to strategic ends. Transferred between parents and ijv, and then harvested from the ijv back to the parents. Transformation: managing the creation of knowledge within the ijv"s independent activities. Equity strategic alliance: two + partners with different relative ownership shares. Global strategic alliance: between foreign firm and local government.
