Weekly Questions Worksheet Answers Must Be At Least 50 Words
Weekly Questions Worksheetanswers Must Be At Least 50 Words In Length
Weekly Questions Worksheet answers must be at least 50 words in length, and grounded with the citing/referencing of at least one relevant and credible source according to 400-level APA standards. 1. Under what circumstances is each type of strategic alliance preferred, and when (i.e., at what stage in the organizational life cycle) might a company choose one type over another? 2. From a risk management perspective, how would a company decide what, where, when and how to expand internationally? 3. What phases do a product or service go through during its life cycle, and how could a company avoid the decline phase through innovation?
Paper For Above instruction
Strategic alliances are collaborative agreements between companies that aim to achieve specific objectives while remaining independent entities. The preference for a particular type of strategic alliance depends on the company's goals, resource capabilities, and stage in the organizational life cycle. For early-stage companies, joint ventures or equity alliances are often preferred to share risks and pool resources. These alliances facilitate rapid market entry and resource sharing, which are crucial during the startup phase when resources are limited (Gulati, 1998). Conversely, mature organizations might favor non-equity alliances such as licensing, franchising, or contractual agreements when expanding into new markets or segments, as these allow for flexibility and lower commitment levels.
The organization's stage profoundly influences alliance choices. During the introduction phase, alliances can provide vital access to distribution channels and local market knowledge. In the growth stage, alliances can accelerate market penetration and competitive positioning. During maturity, alliances often focus on sustaining market share or technological innovation (Hoffmann & Schlosser, 2001). Therefore, a company in its development trajectory selects alliances matching its strategic needs and risk appetite at each phase.
From a risk management perspective, international expansion requires careful strategic planning. Companies must first assess the political, economic, and cultural risks of target markets through comprehensive due diligence. Deciding what to expand involves identifying products or services with global appeal or local adaptation potential. Deciding where to expand involves analyzing market size, growth potential, regulatory environment, and existing competition, often leveraging tools like PESTEL analysis and SWOT. Timing involves understanding market readiness, economic cycles, and the company's internal capabilities, ensuring resources are aligned with expansion goals (Ramachandran & Viaene, 1999). The mode of entry—whether through exporting, licensing, joint ventures, or wholly owned subsidiaries—is chosen based on risk appetite, control needs, and resource availability.
The international expansion process should also consider the company's risk mitigation strategies, including local partnerships, understanding legal and compliance frameworks, and cultural adaptation. Additionally, establishing local presence strategically can help reduce political and economic risks while enhancing competitiveness. Balancing the potential benefits of accessing new markets with the operational and financial risks involved is critical for sustainable international growth (Cavusgil et al., 2014).
The product life cycle (PLC) describes the stages a product or service passes through from introduction to decline. The typical phases include introduction, growth, maturity, and decline. During the introduction phase, marketing efforts focus on awareness creation and customer education. The growth phase sees rapid sales increases, driven by market acceptance, while maturity is characterized by sales stabilization and intensified marketing to maintain market share. Finally, in the decline phase, sales decrease due to market saturation, technological obsolescence, or changing customer preferences.
To avoid the decline phase through innovation, companies must continuously adapt their offerings in response to changing technological landscapes and consumer needs. Innovation can take several forms, including product improvements, new features, or entirely new offerings that meet emerging market demands. For example, technology giants like Apple regularly innovate with new models and features, thereby extending the product’s relevance and lifespan (Tushman & O'Reilly, 1996). Additionally, companies should invest in research and development, monitor market trends, and be willing to discontinue outdated products proactively. This proactive approach to innovation sustains competitive advantage and can significantly extend the life cycle of a product or service.
In conclusion, understanding the appropriate contexts for strategic alliances, carefully planning international expansion, and proactively innovating throughout the product life cycle are essential strategic practices that enable companies to sustain growth and competitive advantage in dynamic markets. Strategic alliances are chosen based on organizational stage and strategic needs; international expansion requires meticulous risk assessment and timing; and continuous innovation helps companies avoid decline, ensuring long-term success.
References
Cavusgil, S. T., Knight, G., Riesenberger, J. R., Rammal, H. G., & Rose, E. L. (2014). International Business. Pearson Australia.
Gulati, R. (1998). Alliances and Networks. Strategic Management Journal, 19(4), 293–317.
Hoffmann, R., & Schlosser, R. (2001). Success factors of strategic alliances in small and medium-sized enterprises. Long Range Planning, 34(3), 247–268.
Ramachandran, T., & Viaene, J. (1999). Multinational corporations' risk management in emerging markets. International Journal of Risk Assessment and Management, 1(1), 88–99.
Tushman, M. L., & O'Reilly, C. A. (1996). Ambidextrous organizations: Managing evolutionary and revolutionary change. California Management Review, 38(4), 8–30.