Marketing Strategy and Competitive Positioning pdf ebook

by association : the performance of an organisation in terms of its competitive behaviour 
and social responsibility stance may make it a more or less attractive partner because of the 
association. For example, one surprising consequence of BP’s disastrous oil spill in the Gulf 
of Mexico in 2010 was that its partner company – Anadarko – found its existence and future 
plans in jeopardy because it was tainted by its relationship with BP ( Klump and Reed, 2010 ). 
The stability or instability of an alliance may also reflect changing strategic priorities : 
when an ally becomes a rival because its strategies change over time, then alliance may no 
longer work. For example, while Apple and Google had maintained a cooperative relation-
ship for a number of years (primarily against the common enemy, Microsoft), 2009 saw Eric 
Schmidt, CEO of Google, resigning from Apple’s board. As the two companies’ products 
began to overlap, cooperation gave way to competition, and Google membership of Apple’s 
board was no longer appropriate ( Menn, 2009 ). 
Moreover, we need to consider the attractiveness of a collaborative or alliance-based strategy 
in terms not simply of the pressures of factors such as resource gaps and market access, but also 
in the light of whether we can design and implement an effective network, and whether we have 
the skills and capabilities to manage through a network of relationships with other companies. 
We shall consider these points in more detail in the managerial agenda discussed in the 
next section. Issues such as trust, commitment and power may hold the key to identifying 
the large business risks involved in reliance on strategic alliances. As situations change, so 
may the commitment of a partner to an alliance. The risk of opportunistic behaviour by a 
partner is an important issue to be monitored ( Kale et al ., 2000 ).
15.8 
Managing strategic alliances 
The previous discussion and the examples examined in this chapter suggest that the manage-
rial issues that should be addressed carefully and systematically in evaluating the strategy 
of collaboration and alliance as a route to market are those summarised in Figure 15.7 and 
discussed in the following text.
Figure 15.7 
Issues to consider in managing strategic alliances
Core
competences
Strategic
priorities
Managing
networks
Staying
vigilant
Assessing
performance
Disengaging
Alliance to
allow you to
focus where
you are the
best
What important
things can you
achieve better
through
alliance?
Do you have
management
capabilities for