L7 Flashcards

(11 cards)

1
Q

differences JV & alliance

A

JV:
+more stable
+more flexible
-higher fixed costs

Alliance:
-less stable
-less flexible
+less costs

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

threats + solutions stability alliance

A

1) Poor structure (different goals, holdup, spillovers, interference, gridlock)
2) Poor process (values, communication, interface)

Solutions:

1) Structure > design, safeguards, partner selection
2) Process > design, partner selection, assessment

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

threats + soltutions JV (4)

A

1) goal conflict (free-riding) > performance aspects
2) holdup (more independent exploits dependent) > hostages, market price transfers, co-specialized assets
3) spillovers (money is transferred out) > lega, partner selection
4) parent interference

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

scale joint venture + conditions

A

Complementary assets = similar.
Obtain scale economies in manufacturing, research, distribution.

Conditions: 1) stages need to be vertically integrated 2) scale differs along stages value chain

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

Link joint venture

A

complementary assets = NOT dissimilar

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

Strategic alliance

A

alliance with foreign rivaling firm. Success measured by competitive strength and not length.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
7
Q

Hard-to-sell/acquire assets (4)

A

1) Materials, components
2) Know-how (technological ,marketing, country-specific)
3) Distribution services
4) Capital

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
8
Q

how limit dependency from alliance (4)

A
  1. Don’t replace building FSAs with outsourcing
  2. Capability losses should be measured (Negative consequences of outsourcing)
  3. Be aware of cumulative effects (deepening dependence)
  4. Refine/restrengthen disappearing FSAs ASAP
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
9
Q

How limit replicability + unintended FSA sharing:

A
  1. Well-defined learning area > formal scope
  2. Don’t use MNE HQ
  3. Performance related checkpoints
  4. Monitor information transfers > gatekeepers
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
10
Q

pro’s + con’s early entry (6)

A

1st mover advantages:
+ Customer + supplier switching costs
+ No-imitable production advantages (learning curve, scale, patents)
+ Input + geographic/product space

1st mover disadvantages:

  • Investments to create market
  • Followers benefit from their experience
  • Rules + regulations
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
11
Q

late entry strategies

A
  1. Benchmark + sidestep
  2. Find niche
  3. Introduce new business / tech
How well did you know this?
1
Not at all
2
3
4
5
Perfectly