Strategic Partnerships : When to Form - When not to Form

Submitted by jotibasi on Thu, 04/02/2009 - 03:26.

While riding a bus to and from work, I read this article on HBR titled What's Your Google Strategy.   While I feel that article title was bit misleading, nevertheless it is a great article for those who are looking to form startegic partnerships.  By using examples such as dispute between Amazon.com and Toy R Us,  Nokia's push for Symbian, Time Warner's support for HD DVD format and LinkedIn's dual strategy with Google Open Social - this article throughly discusses pros and cons of forming strategic partnerships and things to consider beforing looking for a startegic partner.  The article encrouages managers to consider their own and potential partner's long tail and short tail strategies beforing moving forward with a partnerships.  It particularly suggests that one should carefully evaluate their partner's long term strategy by using Toys R Us example on how the relationship with Amazon went sour and ended up costing Toys R Us millions of dollars because they did not evalute Amazon's long term goals before hosting a store inside Amazon.

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