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Companies across various industries are forming strategic alliances and partnerships to enhance their resources and competitiveness in both domestic and international markets. A strategic alliance is a formal agreement between two or more companies to collaborate on common objectives, which may include a contractual agreement but generally do not involve formal ownership ties. In contrast, collaborative agreements that involve shared ownership are known as joint ventures, where independent corporate entities are jointly owned and managed by the partners. While joint ventures can be more durable due to their shared ownership structure, they also carry higher risks. Notably, many alliances fail to meet expectations, with estimates suggesting that as many as 60% do not succeed.
