Alliance network dating

The gained advantage may provide a short- or long-term benefit and may be formal or informal between the two partners.

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Through a strategic alliance, two companies will decide to share resources to accomplish a specific, mutually beneficial project.

Strategic alliances are flexible because they avoid some of the hindrances that a joint venture would include.

The two firms do not need to merge capital and can remain independent of one another.

This type of agreement is less involved and less binding than a joint venture, where the two businesses pool resources in the creation of a separate business entity.

Each of the two companies will maintain their autonomy in a strategic alliance while gaining a new opportunity.

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