why all this interest in interorganizational collaboration
Some key reasons include sharing risks when entering new markets, mounting expensive new programs and reducing costs,and enhancing the organizational profile in selected industries or technologies. cooperation is a prerequisite for greater innovation problem solving and performance
Partnerships are also a major avenue for entering global markets with both large and small firms developing partnerships overseas and in North America
Joint ventures with organizations in other countries for example make up a substantial portion of U.S firms foreign investment and entry strategies.
North America companies traditionally have worked alone competing with each other and believing in the tradition of individualism and self-reliance but they have learned from their international experience just how effective interorganizational relationships can be. Both Japan and Korea have long traditions of corporate clans or in dustrial groups that collaborate and assist each other.
North Americans typically have considered interdependence a bad thing believing it would reduce competition . How ever the experience of collaboration in other countries has shown that competition among companies can be fierce in some areas ever as they collaborate in others.
It is as if the brothers and sisters of a single family went into separate businesses and want to outdo one another but they will help each out when push comes to shove.