Creating a Good Competitive environment
Companies can use strategic alliances to create a competitive environment is more conducive to performance leader.
Ease develop technology standards
Companies can use the alliance to help set the technology standard in the industry. By this standard, technology-based products can be developed and consumers can trust that the products they buy will be useful for some time to come.
The company formed strategic alliances with the aim of evaluating and selecting a technology standard. By setting this standard, the technology can be run on products that consumers like to buy these products, because consumers will know that they will conform to industry standards at the time. This alliance strategy can be used to create a better competitive environment (favorable).
Facilitating tacit collusion
Collusion occurs when two or more firms within an industry to coordinate their strategy choices to reduce competition in the industry. Reduction of competition makes it easier to improve company performance.
Collusion occurs when firms coordinate their production and pricing with no direct communication with the others, but with the exchange of signals with other companies regarding their intent to work together.
Environmental Impact Analysis
Any business that is run course will provide both positive and negative. Positive and negative impacts will be felt by the various parties, both employers and society itself are in the environment around.
Suppose an entrepreneur wants to build a garage and car paint is located between the settlements. Course of business which they run will have a positive impact or negative.
Environment is one aspect that should be considered further before determining a business. This is done purely to prevent an employer can determine the impact of positive and negative effects that would arise from an attempt.
Positive impact
- Employment opportunities for the community around that grow where it can reduce unemployment, especially in the environmental community.
- Can improve people’s lives, although not significantly so.
Negative impact
- Air pollution which may interfere with the level of public health.
- Noise pollution from the production machine.
- Can interfere with surrounding communities.