There are many factors that demand attention when considering a business partner, but one of the most consistent pressing concerns is the delegation of work and responsibility, or more simply, “who’s going to do what?” Another company may seem like a good candidate for a business partner in theory, but in reality, the delegation of work may make the business partnership undesirable.
Because of the internal strife that may result from Continue reading
Although strategic alliances are often beneficial for participating firms, prior to the alliance the two companies should be aware of the nature of their professional relationship. Continue reading
We all have a basic understanding of these three words.
Performance is the presentation of work, generally applied to an expected level of success. Coaching is mentoring and/or apprenticeship by instruction, encouragement and example. Put this all together for the corporate world and you have the following definition: The mentoring of executive leadership in forming strategic partnerships between mutually motivated companies to effectively raise profits and lower losses for each partner.
At a time when “coaching” is the go-to word for any form of guidance and “expert” advice, from Little League to self-help gurus, it’s important to Continue reading
The airline world is no stranger to corporate business alliances. These agreements mean that businesses cooperate substantially, and in addition, they make it less likely that one will push the other out of market share. In fact, in the airline world, these business alliances have become so popular that there are a few major known names.
One of the biggest is Star Alliance. Continue reading
While acquisitions and joint ventures are both viable options for expanding businesses, they are both considerably different and depending on a company’s particular situation, one is after significantly more beneficial than the other. Joint ventures are commonly seen as less risky than acquisitions due to the information barriers during the acquisition process. In addition to being less risky, Continue reading
Keeping a business growing requires thinking about unconventional solutions. Sometimes when seeking a solution, it takes an angle from the other side to give a clearer light on the problem. Being power partners with another business is a great strategy to give businesses a new look at common problems.
Power partners are a great way to secure a consistent revenue flow to insure continued success. Continue reading
As a business owner, you have probably spent a lot of money in marketing campaigns to grow your brand and your business. Do you have the feeling that there is just something missing that is preventing you from getting the exposure you need and the competitive advantage you deserve? Have you ever considered seeking another business to form a partnership?
The key is to find another business that does things you cannot do to combine your strengths to create something very unique and valuable. Let’s look at some important 3 considerations in selecting business partners to give a competitive advantage over time:
Launch a business from scratch with Joint Ventures (JV). Countless new business owners are launching new businesses using JV alone, proving to be the active element as to why they experienced success in their business. A partnership between two companies with similar assets is simply leveraged by a “joint venture.” When working through JV ventures, it is important to partner with them and not compete with them.
For instance, you may own a vitamin website and then contact the owner of a wellness website. See if you can leverage marketing your vitamins to the customers of their wellness site. They will say either “yes” or “no.” If the answer is “yes,” then it’s worth every effort when you start to build up your back office easily and experience rapid traffic and sales.
Most recently, Ford and GM have created a Joint Venture to develop new transmissions with 9 speeds for front week drive cars. They are jointly developing a new product for both companies and it won’t be in cars until 2016. Continue reading
Becoming a Value Added Reseller (VAR) is a lucrative way to add value and specialization to your product while saving yourself the development costs of manufacturing and developing the add-ons yourself. We’d like to offer you some tips in making this selling program work for you.
The most important thing is to establish yourself Continue reading
Whether you are in accounting, finances, sales, consulting or another service industry, to grow your small business takes creativity. Using strategic business alliances allows you to develop a mutually beneficial relationship to expand your service offerings and increase your brand awareness.
Seek Vendors with a Shared Target Market
It may seem counterproductive to build a relationship with a business that shares your target market. You are not sleeping with the enemy. Continue reading
The purpose of a business alliance is to bring two or more companies together to achieve defined strategic goals. The benefit is to reduce risk, increase rewards, and leverage resources. But how do you know if you’re successful? Alliance management requires you to assess performance.
Over ten years ago, McKinsey & Company reviewed the financial and strategic outcomes of hundreds of business alliances. Their assessment was that the overall success rate was slightly higher than 50 percent. Who knew? Not the executives, according to the study.
To make sure this doesn’t happen to your business alliances Continue reading
A business alliance is a tool used by businesses to stabilize a market so that each company benefits. There are several types of business alliances with each specialized to effect certain conditions for different scenarios. A business should consider the needs before entering an alliance so that the correct type can be addressed for the best and most beneficial results.
The types of alliances include: Continue reading
Sometimes it’s tough to go it alone, especially if you’re a small business owner. Because of today’s fast-paced and constantly changing business environment, it’s critical to move quickly to take advantage of opportunities.
Consequently, many business owners are seeking alliance management professionals to help them achieve their business objectives rather than building or buying something new. Continue reading
In today’s volatile economy, businesses large and small must take advantage of every opportunity to lessen risks and make their bottom line. One tool is strategic alliances. Many businesses, big and small, have entered into these beneficial partnerships to share resources and expand brand awareness without sacrificing additional capital.
Strategic alliances can be beneficial to all parties involved. Continue reading
Strategic alliances are an increasingly common sight in the modern business landscape. A study by Booze-Allen & Hamilton showed 20,000 new alliances formed between 1987 and 1992. One reason for this is the need for brand recognition in a crowded global market and because there have been many success stories of strategic alliances that have helped companies take off. Academics talk of the effectiveness of alliances in terms of game theory, these real life examples are a testament to the success of such a bold business move.
Starbucks and Barnes & Noble
The coffee house and the bookstore. Continue reading
Reaching out to like-minded individuals is one aspect of creating new business and it the same effect that happens when reaching out to like-minded businesses or competitors of the same or different genre. Specifically speaking building Strategic Alliances is networking with companies and or vendors that deal within the same area of business. For instance, a local business needs to increase sales. One way they can accomplish this is to find another local business that caters to a similar demographic and build a working relationship that benefits both companies by increasing the audience of both through joint advertising. Continue reading
In a 2010 Inc. post, “How to Build Business Alliances,” I was surprised to read the very first line:
The basic logic of the strategic alliance – a joint venture between two companies – is often irresistible: It’s difficult to break into new markets, and a partnership can bring instant access to new customers.
What? A strategic alliance is not a joint venture. Yes, a joint venture is technically a strategic alliance. However, the reverse is not true.
Specifically, a joint venture occurs when two companies invest finances to create a third, jointly owned company. Continue reading
Sometimes it’s difficult not to think of those who work in sales as anything more than the slick late night used car sales people from days gone by. However, much has changed over the last 30 years, especially when it comes to sales strategies.
Heading into 2013 it’s critical for your sales team to understand what factors Continue reading
Many people think that being business entrepreneurs means you have a new exciting product to offer the world. That may be true in some cases but not in all. The dictionary defines an entrepreneur as a person who organizes and manages a business usually with considerable unique ideas, initiative and risk. Today’s entrepreneur thinks outside of the box. More and more business is becoming global. It is often the idea that is central to success. It is the idea about an old product that often launches a great business.
You do not have to invent a new mousetrap to become the king of pest control. If you have an idea on how to do it better, provide great service and make your customers happy then you are a potentially successful entrepreneur. You just have to take action. Continue reading
As a business owner, you should always be looking for a way to increase your bottom line. There are different strategies claiming they can help you increase your business, but one that is often overlooked is forming business alliances. This term might be complete Greek to you, so here’s a quick breakdown of what it is. Continue reading