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The age of alliances

Business is experiencing a new age -- the age of alliances. Companies are looking for a business or marketing partner who is trying to reach the same targets -- then teaming up to share resources. The problem is, alliances often fail. Most from lack of research, poor planning or trying to run before walking. Ask these questions when entering into an alliance:

  • Cultural alignment -- does your potential partner share your values?
  • Do you trust your partner?
  • Will you be proud to call this company your partner?
  • Are you prepared to commit?
  • Will you communicate one message internally and externally?
  • What are our combined strengths and weaknesses?
  • What is your common vision?
  • How will you manage conflict, surprises and crisis?
  • Are there speed to market issues?
  • What issues could be deal killers?
  • Will this give you an edge over the competition?
  • Who will be in charge of the revenue share/distribution?
  • Do you see this as a long-term strategic alliance (define 1 year, 5 years)?

A partner should bring to the table what you can't and vice versa. It's better for both of you in the long run to be candid. Be sure to understand your partner's capabilities, competence and methodologies. A successful alliance does not mean that you will always agree with each other. Often those differences can be an opportunity for to learn from one another.

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