Careful and dedicated management can help build the trust necessary to ensure that each firm cooperates in an effort to maintain a successful alliance

Careful and dedicated management can help build the trust necessary to ensure that each firm cooperates in an effort to maintain a successful alliance

a) evaluate and use direct value from partners
b) successful alliance
c) establish criteria and process to evaluate performance
d) careful selection of partner

Answer: B

In the evaluation of an alliance' value, the partners who are, in turn, allied with the firm's strategic alliance partner should also be considered.

In the evaluation of an alliance' value, the partners who are, in turn, allied with the firm's strategic alliance partner should also be considered.

a) evaluate and use direct value from partners
b) plan implementation
c) establish criteria and process to evaluate performance
d)successful alliance

Answer: A

The means for analyzing the alliance's performance and for distributing performance outcomes to the partners should be clearly established.

The means for analyzing the alliance's performance and for distributing performance outcomes to the partners should be clearly established.

a) assign responsibility
b) plan implementation
c) establish criteria and process to evaluate performance
d) careful selection of partner

Answer: C

A clear plan for implementing the alliance should be discussed, created, and activated once the partners have agreed to the alliance.

A clear plan for implementing the alliance should be discussed, created, and activated once the partners have agreed to the alliance.

a) assign responsibility
b) plan implementation
c) prioritize resource allocation
d) careful selection of partner

Answer: B

The organization should analyze each alliance's priority within its resource allocations and ensure the commitment needed for each alliance to succeed

The organization should analyze each alliance's priority within its resource allocations and ensure the commitment needed for each alliance to succeed

a) assign responsibility
b) plan implementation
c) prioritize resource allocation
d) careful selection of partner

Answer: C

The manager or sponsor from each firm should be appointed to keep each other informed of major alliance activities, resource allocations, and outcomes.

The manager or sponsor from each firm should be appointed to keep each other informed of major alliance activities, resource allocations, and outcomes.

a) assign responsibility
b) plan implementation
c) prioritize resource allocation
d) careful selection of partner

Answer: A

Managing Strategic Alliance: if an incompatible partner is selected, the alliance is likely to fail. The firm should understand its partner's situation, resources, capabilities, etc

Managing Strategic Alliance: if an incompatible partner is selected, the alliance is likely to fail. The firm should understand its partner's situation, resources, capabilities, etc

a) assign responsibility
b) plan implementation
c) prioritize resource allocation
d) careful selection of partner

Answer: D

Usually more difficult to manage and sustain because often the partners are also competitors

Usually more difficult to manage and sustain because often the partners are also competitors 

a) vertical strategic alliance
b) horizontal strategic alliance
c) neutral strategic alliance

Answer: B

Involves cooperative partnerships at the same stage of the value chain

Involves cooperative partnerships at the same stage of the value chain

a) vertical strategic alliance
b) horizontal strategic alliance
c) neutral strategic alliance

Answer: B

Involves cooperative partnerships across different stages of the value chain. Key to success = trust between partners

Involves cooperative partnerships across different stages of the value chain. Key to success = trust between partners

a) vertical strategic alliance
b) horizontal strategic alliance
c) neutral strategic alliance

Answer: A

What is the primary purpose of a strategic alliance

What is the primary purpose of a strategic alliance

a) create mutual advantage
b) develop shared advantage
c) develop competitive advantage
d) create existing advantage

Answer: C

A relationship between firms in which the partners agree to cooperate in ways that provide benefits to each firm

A relationship between firms in which the partners agree to cooperate in ways that provide benefits to each firm

a) partnership alliance
b) shared alliance
c) strategic alliance
d) mutual alliance

Answer: C

Which strategy works the best:

Which strategy works the best: 

a) assimilation
b) deculturation
c) integration
d) separation

Answer: C

What are the three steps of bi-cultural audit:

What are the three steps of bi-cultural audit: 

a) look for differences and similarities , maximize and accentuate similarities, minimize differences
b) look for differences and similarities , neutralize and accentuate differences, minimize similarities

Answer: A

When the vertical acquisition is going upstream it is getting:

When the vertical acquisition is going upstream it is getting: 

a) together with the customer
b) away from the customer
c) closer to the customer
d) next to the customer

Answer: B

A transaction in which businesses are sold to other firms or spun off as independent enterprises

A transaction in which businesses are sold to other firms or spun off as independent enterprises 

a) Multiple share
b) Versatile sale
c) Divestiture
d) Investiture

Answer: C

Regardless of effort, acquisitions often fail between ___ and ___ percent of all mergers fail to return a positive investment.

Regardless of effort, acquisitions often fail between ___ and ___ percent of all mergers fail to return a positive investment.

a) 20-35
b) 40-55
c) 60-75
d) 70-85

Answer: C

Acquired company embraces acquiring firm's culture. (Acquired firm has a weak culture.)

Acquired company embraces acquiring firm's culture. (Acquired firm has a weak culture.)

a) deculturation
b) Integration
c) separation
d) assimilation

Answer: D

Acquiring firm imposes its culture on unwilling acquired firm. (Rarely works- may be necessary only when acquired firm's culture doesn't work but employees don't realize it.)

Acquiring firm imposes its culture on unwilling acquired firm. (Rarely works- may be necessary only when acquired firm's culture doesn't work but employees don't realize it.)

a) deculturation
b) Integration
c) separation
d) assimilation

Answer: A

Combining two or more cultures into a new composite culture. (Existing cultures can be improved.)

Combining two or more cultures into a new composite culture. (Existing cultures can be improved.)

a) deculturation
b) Integration
c) separation
d) assimilation

Answer: B