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Explain the issues, challenges, or disadvantages to forming a strategic alliance. Give an example to provide a context to your discussion.Initial post should be at least 250 words and APA format too.
Strategic alliances.These are typically multifaceted, goal-oriented, long-term partnerships between two companies in which both risks and rewards are shared. In many cases, the problems of outright acquisition can be avoided while at the same time mutual goals can lead to the commitment of many more resources than in the case of arm’s-length transactions. Strategic alliances typically lead to long- term strategic benefits for both partners (page 247).
Simchi-Levi, David, Kaminsky, Philip, Simchi-Levi, Edith, (2008). Designing and Managing the SupplyChain: Concepts, Strategies and Case Studies, 3rd Edition. New York, NY: McGraw Hill