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What is Strategic Alliance

Strategic Alliance: It is an arrangement between two companies which have decided to share resources to undertake a particular, mutually valuable project. Strategic alliance is less concerned and less permanent than a joint venture, in which two companies usually pool resources to make a separate business entity. In a strategic alliance, each and every company maintains its autonomy whereas gaining a new opportunity. The strategic alliance could help a company build up a more effective procedure, enlarge into a new market or develop a benefit over a competitor, along with other possibilities.

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