Literature Review Busi610

Companies and organizations have always relied on other businesses for items that were necessary to run their organization either long-term or on a day-to-day basis. These items included things such as raw materials, supplies for manufacturing and administration, and information technology. What was once every company for themselves, and the little guy being bull-dozed by the larger behemoth corporations, is now organizations working together to develop horizontal relationships that benefit all involved. Building alliances and collaboration between organizations is the new way of doing business. Recognizing and closing resources and information flows within your organization can bring about additional opportunities and discover new alliances that historically would have gone otherwise unnoticed.

With companies joining forces to bring new products to the marketplace,

the question that is being asked by many executives is that with so many

companies joining forces and with the increased numbers of organizations that

have merged operations in recent years, is competition dead? According to

James Moore (1996),

“An economic community supported by a foundation of interacting organizations and individuals—the organisms of the business world. The economic community produces goods and services of value to customers, who are themselves members of the ecosystem. The member organisms also include suppliers, lead producers, competitors, and other stakeholders. Over time, they http://en.wikipedia.org/wiki/Coevolvecoevolve their capabilities and roles, and tend to align themselves with the directions set by one or more central companies. Those companies holding leadership roles may change over time, but the function of ecosystem leader is valued by the community because it enables members to move toward shared visions to align their investments, and to find mutually supportive roles.”

Corporate alliances are growing in number; however, many of them have failed...