Strategic Alliance Partnerships have many applications and generally it depends on what your reasons are for having one. As Corporate Stakeholders seeking to grow your organization, continued strong growth elicits many challenging questions. of which each direction presents numerous uncertainties and challenges.
According to a recent U.S.A. survey, the following list are the Top 6 Reasons for what corporate executives seek to use Strategic Alliances
1) Acquire New Customers — 68% of Executives surveyed cite a) gaining new customers as their main reason for seeking new partnerships, with other leading reasons as, b) gaining access to new markets, c) increasing market share and exposure. Additionally, strategic partners benefit from sharing in preferred supplier-vendor relationships, collaborate on other opportunities, deals, initiatives and more.
2) Increased Revenues — 66% of Senior Executives seek alliance partners predominately for increased revenues. However, this comes with conditions. Their strategic initiatives must align and their resources compliment each company.
3) Expand Geographic Reach — Depending on where a business is with expansion, 32% of executives prefer a strategic alliance partner as a means to efficiently grow their sales, while continuing to grow the quality of their brand.
4) Extend Product Lines — The research found that 27% of executives see product diversification as their primary means for growing their business and that well suited, synergistic alliance partners can speed this process along—especially when industry and government certifications are required.
5) Access New Technologies and IP — This advantage is clear simply due to time and cost savings required as confirmed by 26% of respondents.
6) Sharing Resources — Remaining competitive requires keeping costs down and 23% of executives find value through pooling resources and when possible, increase purchasing power and supplier influence.
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