Question

1) Strategic alliance is an important part of corporate strategy for international corporations. Research and find a company that has recently engaged in this kind of activity. Describe it and make an assessment of whether you think it will be effective. (Chapter 6 which is Engaging in cross-border collaboration, Managing across corporate boundaries) Book Transnational Management 2) In your research for the above venture, what kind of management will be put in place, as discussed in Chapter 7 which is Building New Management Canabilities. on this, please describe what you think would be the best fit role for the type cf Key to Effective Implementation. If you cannot find any information alliance you discussed in Question 1

Answer 1

Recently, Walmart and Rakuten Kobo Inc. announced their strategic alliance in Japan which would allow the companies to come up with a better fit for delivering the groceries to their customers, in a movie which tends to benefit both the companies.

Rakuten is a strong e-commerce company when it comes to its main business focus, which is e-commerce. We need to address the fact that both the companies have a strong business model, capabilities and capacity when it comes to their processes, but, being that Walmart is a retailer and Rakuten is an e-commerce success can allow us the necessary understanding behind this power move.

Their move is sure to help enable the customers to be benefited from it the most while also being uniquely suited to match the competition from the companies that are already operational in the market as a result. I do believe that their collaboration would be a successful one.

2. The management that would be put in place would be based upon the structure they decide to form. It is highly likely that Walmart would provide the expertise they have in the field of inventory management and delivery channels while Rakuten would be responsible for the control of the physical structure that governs their e-stores, their ability to attract and retain customers as well as the other processes since e-commerce is their area of expertise and Walmart wants to be able to operate in a new culture where they do not carry the required knowledge. Like any strategic alliance, both the companies would bring their style of management to the table and therefore, what would result from this would be the structure which can make the best possible use of both their processes.