Waraporn Chianwatanasuk Tanai Techasmit49 BhukKiranantawat488 Sirot Sawangsawai

Sales alliance Solution-specific alliance Geographic-specific alliance Investment alliance Joint venture alliance

The focus is to create sales. Benefits Create competitive advantage Reduce cost of sales Grow revenue through sales Exclusivity is not required.

The focus is joint selling of a jointly developed solution. Exclusivity may or may not be required. Specific parameters and incentives for both parties to maximize return.

Focus is to expand their products and services in a specific geographic region. Benefits Reduce transportation costs Avoid trade barriers Faster expansion Grow revenue through sales

Investment Alliance - Happens when one company makes an investment in another. - Example: Hearst and Boston Consulting Group and Whirlpool and Brandwise.com Joint Venture Alliance - Occurs when two companies form a separate company to market and/or develop a specific products and services - Example: Northern Telecom and Motorola

Step 1: Business and Market strategy How companys products are incorporated into total customer satisfaction? Mission and Vision of the corporation major objectives companys market strategy - Whether an Alliance relationship is needed? Components of marketing strategy - Product portfolio - Strategy & capital expenditure - Associated marketing programs aim to serve customers satisfaction

Step 2: Marketplace Scan – 4 Stages I. Review of existing competitors & their current market shares II. Review of existing competitors against the identified total customer solution III. Identification of new competitors IV. Identify non-total-customer solution providers which refer to all intermediaries in marketing process. Step 3. Product Portfolio Assessment vs. Marketplace Scan - Identify current product & service in companys product portfolio - Find the keys to drive competitors forward - Eliminating gap of positioning in the marketplace between company and competitors.

Step 4: Build Internally vs. Acquire Externally - First choice, Do nothing and give specific market segment to the competitors. -Second Choice, create technology in a corporation - Third Choice, acquire externally A Corporation should determine the cost and benefit analysis Step 5: Organizational Readiness and Speed to Market Demand - Does the corporation is ready to build internally? - Does the products are needed? Step 6: Proceed to Build Internally or Acquire Externally - Consider step 4 and 5 - If acquire externally, make sure that the products and services match with the total customer solution and enhance the companies gaining.

Do you need an alliance that is sales-based? - All alliance must be either directly or indirectly related to sales- based. Otherwise, consider Work for Hire Is there a need for joint solution development? - It is only needed in the solution-specific, investment and joint ventures. Is the need geographic-based? - This is necessary for geographic-specific and joint ventures but sometimes can be related to sales-based alliance. Is there a necessity for a direct investment in the external company? - Usually required by investment and joint ventures. Is there an overriding reason to set up a company to acquire the needed products or services from the external provider? - Only in joint ventures

Pulling together the answers from the framework - Look horizontally at the type of alliance applied to the question and look vertically by alliance to see the result.