Alliance: The new strategic focus

Alliance between companies has long been a major corporate strategy. However, the recession and increasing protectionism have combined to raise the costs of doing business which in turn have favoured the increasing use of business alliances. While alliances have proved to be valuable competitive manoeuvres, there are inherent risks in relying on alliances as the sole or the major strategy for a company. This article discusses the key factors behind the change in focus for alliance strategies and identifies the major alliance thrusts being adopted in response to changing conditions.