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Understanding Strategic Partnership and Alliance

Scott McNeally, the Chairman of Sun Microsystem, is fond of saying that the only strategic partners are those bringing in purchase orders. It is a vivid description that any partnership must make money for both parties. Otherwise, the partnership cannot sustain. The cost of a failed partnership includes not only the resources and time invested to establish the partnership but also the opportunity cost lost time window of opportunity, potential profitable partnership not pursued due to the existing constraints such as resources or contract restrictions.

The wrong partnership can break a startup venture and severely cripple the new entry for an established company.

The IPO Group can help you assess and evaluate the right partnership and guide you through with a checklist to establish successful partnership and alliance.


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