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Chapter Code : SMMC12
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The strategic relationship between two or more organizations is called an interorganizational or hybrid organizational relationship. Organizations entering into collaborative relationships can take advantage of the diverse skills, capabilities, and resources of the various players involved. These collaborative relationships are based on the environmental diversity and turbulence and skills and resources disparities. There are four types of interorganizational arrangements namely in-house strategy, acquisition/merger, joint venture, and strategic alliance. There are many types of interorganizational relationships like the manufacturer-supplier, distribution channel, end-user/customer, and internal relationships.
Apart from the organizational forms, the organizations operating in the global arena should take care of the host government's intervention in their activities. The host government's intervention can be in the form of limitations to the strategic freedom and involvement in the managerial activities. However, the MNCs and the host government both command a certain amount of bargaining power.
Diverse and Turbulent Environment
Skills and Resource Disparities
Basis for Entering into Collaborative Relationships
Types of Interorganizational Relationships
Distribution Channel Relationships
Relationships within the Organization
End Results of Alliances
Making Strategic Alliances Work
Global Relationships Among Organizations
Host Government Intervention in MNCs