One of the principal risks associated with a strategic alliance is that:
A. it brings together the complementary skills of alliance partners.
B. it makes it difficult for the partner firms to enter into a foreign market.
C. a firm can give away more than it receives.
D. it does not allow firms to share fixed costs.
E. it almost always fails.
C
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Monchen Labs is an company that prides itself for innovating cutting-edge technologies in the
radio-diagnostics equipment industry. The firm, as a policy, prices its newly-launched products nearly 50 -60% higher than what it would sell the same products for nearly a year after their launch. The firm justifies the high pricing as a means to recoup the rather prohibitive R&D costs involved in the development process. Which of the following pricing objectives does Monchen Labs follow in this case? A) survival pricing objective B) market skimming pricing objective C) market share maximization pricing objective D) product-quality leadership pricing objective
The text identifies a number of forms that for-profit —nonprofit alliances may take. Identify and describe them
What will be an ideal response?