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The most common type of alliance is a(n) Blank______.Multiple choice question.non-equity alliancejoint ventureequity allianceacquisition

Question

The most common type of alliance is a(n) ______.

Multiple choice question.

  • non-equity alliance
  • joint venture
  • equity alliance
  • acquisition
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Solution

Breakdown the Problem

  1. Identify the types of alliances listed in the options:
    • Non-equity alliance
    • Joint venture
    • Equity alliance
    • Acquisition

Relevant Concepts

  1. Understand the definitions of each type of alliance:
    • Non-equity alliance: A partnership where firms collaborate without sharing equity.
    • Joint venture: A separate entity created by two or more firms that share ownership and control.
    • Equity alliance: Involves one company taking an ownership stake in the other.
    • Acquisition: One company purchases another, usually controlling its operations.

Analysis and Detail

  1. Determine which type of alliance is the most common. Non-equity alliances are typically the most prevalent form because they are easier to form, do not require shared ownership, and allow firms to collaborate without significant commitments.

Verify and Summarize

  1. Based on the definitions and characteristics of each type of alliance, the answer can be verified and summarized.

Final Answer

The most common type of alliance is a non-equity alliance.

This problem has been solved

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