One of the principle risks with strategic alliances is:
A) that they bring together the complementary skills of alliances partners
B) alliances may facilitate entry into foreign markets
C) a firm can give away more than it receives
D) that they allow firms to share fixed costs
E) can establish technological standards that are not compatible with one of the partners

Question

Quizplus · Accepted Answer

Strategic alliances can lead to one partner giving away more than it receives, resulting in an unequal distribution of benefits between the partners. This can be a major risk for firms entering into strategic alliances.

One of the Principle Risks with Strategic Alliances Is