ABC and XYZ, two organizations in the same industry, have come together to pursue areas of mutual interest. This scenario exemplifies a(n):
A) unethical venture.
B) acquisition.
C) corporate takeover.
D) strategic alliance.

Question

Quizplus · Accepted Answer

A strategic alliance is a collaborative effort between two or more organizations to achieve mutual benefits and pursue common interests without forming a new entity. In this scenario, ABC and XYZ have come together to pursue areas of mutual interest, which makes it a strategic alliance. It is not an acquisition or corporate takeover as there is no transfer of ownership or control of one organization by the other. It is also not an unethical venture as there is no indication of any wrongdoing involved in the collaboration.

ABC and XYZ, Two Organizations in the Same Industry, Have