International Business

Strategic alliances were partnerships created by Daewoo and General motors, to better pursue their mutual goals by combining their resources. Both companies invested $100 million each, managerial expertise on the day to day running by Daewoo with the managerial and technical advise from General Motors with both managerial and technical advise from General Motors with both companies supplying technology as well as their existing destructive competitive advantages to achieve a mutually rewarding association. These alliances often called co-operative strategies are transitions mechanisms that proper the partner’s strategy forward in a turbulent environment faster than would be possible for each company alone. Alliances may comprise full global partnerships, often joint ventures as seen in this case study, in which these companies will retain their national identity, develop a common long tern strategy aimed at world leadership.

General Motor’s primary motive was to obtain access to...