Problem:
To begin, strategic alliances consist of two or more organizations that merge together resources and talents to achieve a common goal, which otherwise cannot be done in a single organization (Judge & Ryman, 2001). The issues facing strategic alliances can impact production and success within the alliances. These issues can include cross-cultural concerns, diversity, values, ethics, leadership, and teamwork. Many organizations face unique challenges of strategic alliances considering the strategic alliance to be a contractual agreement. The contractual agreements exist to impart precise responsibilities for each firm and the governance of the alliance (Judge & Ryman, 2001).