The Drawbacks of Strategic Alliances
and Partnerships
♦Culture clash and integration problems due to different management styles and business practices.
♦Anticipated gains do not materialize due to an overly optimistic view of the synergies or a poor fit of partners’ resources and capabilities.
♦Risk of becoming dependent on partner firms for essential expertise and capabilities.
♦Protection of proprietary technologies, knowledge bases, or trade secrets from partners who are rivals.