What are the benefits of coalitions over competition in business?

What are the benefits of coalitions over competition in business?

Coalitions can lead to shared resources, reduced costs, and increased innovation, while competition often drives prices down.

Can you give me an example of a successful business coalition?

Sure! The Star Alliance is a great example, where airlines collaborate to offer better services and expand their networks.

What are some risks associated with forming coalitions?

Risks include potential loss of control, misalignment of goals, and dependency on partners for success.

How do coalitions impact market competition?

Coalitions can reduce competition by creating barriers to entry for new players, but they can also foster innovation through collaboration.

Are there industries where coalitions are more common?

Yes, industries like technology, airlines, and pharmaceuticals often see coalitions due to the high costs and complexities involved.