Inter-Organizational Partnership Essay

350 Words2 Pages
INTERNATIONAL -ORGANIZATIONAL PARTNERSHIP International-organizational partnership is the concept of leveraging domestic and international resources. This partnership provides lowered costs and new opportunities for the companies such as surmounting technical problems and sharing financial burdens. International firms may choose to do business in a variety of ways. Some of the most common include exports, licenses, contracts, franchises, joint ventures, wholly owned subsidiaries, and strategic alliances. It is basically an agreement to work together to achieve a common purpose or undertake a specific task and to share risk, responsibilities, resources, competencies and benefits. Importance of international-organizational partnership in today’s companies The external environment provides companies with both opportunities and challenges. In order to attain success companies should increase their collaboration with each other by sharing information, other scarce resources and experiences. Hence, in order to surmount these challenges, companies use different business strategies. Among them is the international-organizational partnership. International-organizational partnerships are becoming important in today’s companies because of many advantageous reasons. * IO partnerships provide the possibility for firm innovation and enhancement, * They avoid uncertainty of the future state of the companies by making collusion. * They improve a forum for professionals to share and receive knowledge which will result in improving companies’ policies, competitiveness and profitability. * Inter-organizational partnerships offer employees the chance to discuss and share current professional practices and skills with others in related fields, which gives them more knowledge and enables them to perform their various tasks more effective and
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