Today, most medium and large size companies cooperate with other firms – sometimes even direct rivals – for a specific business objective, such as development of a project, undertaking joint R&D, or transfer of technology, or to tap into a foreign market. Companies like Novartis actively negotiate and then manage hundreds of alliances and collaborations. IT firms like IBM have claimed on their website that they liaise with nearly 100,000 “partners.” In short, we are in a cooperative world where even large companies feel they lack the complete range of knowledge or marketing skills to undertake all projects in-house.
Interfirm cooperation encompasses a range of structures or arrangements, from licensing, to contractual cooperation, to equity joint ventures. The term “Strategic alliances” put into Google, yields over 4.2 million entries. A 2014 United Nations survey found that “most companies expect the contribution of alliances to the value of the company to increase from the current rate of 19% to a rate of 47% in five years’ time.”
What you will learn for this professional development event
- Why should firms cooperate? Strategic reasons.
- How will the purchase, sale or sharing of intellectual assets help or hinder the firm’s overall business? Assessing benefits, drawbacks and risks in alliances.
- Should the knowledge sharing be by license, acquisition or equity joint venture?
- What are long term economic or strategic implications of each alliance arrangement?
- Which elements are critical to the negotiations?
- When one partner shares an intellectual assets or technology with another company, how to arrive at a value or “price” for the intellectual assets?
- What are “win-win” strategies?
Presentation and Discussion Method:
Instead of just lecturing, the speaker prefers an interactive format where participants also share their ideas and ask questions. Audience participation reinforces the learning from lectures, enables company executives to share ideas with colleagues and, in general, deepens understanding of the subject material.
About the Speaker
Dr. Farok Contractor
Professor, Rutgers Business School-Newark and New Brunswick, Rutgers University, USA
||Dr. Farok Contractor is ‘Distinguished Professor’ in the Management and Global Business department at Rutgers Business School. He has also taught at the Wharton School, Copenhagen Business School, Fletcher School of Law and Diplomacy, Tufts University, Nanyang Technological University, Indian Institute of Foreign Trade, XLRI (India), Lubin School of Business, Theseus, EDHEC and conducted executive seminars in the US, Europe, Latin America and Asia.
He is a graduate of the Wharton School, University of Pennsylvania, where he received his Ph.D. (Managerial Science and Applied Economics) and MBA, and the University of Michigan, where he received an M.S. in Industrial Engineering. Farok Contractor’s research has focused on corporate alliances, outsourcing and offshoring, valuation of intangible assets, the technology transfer process, licensing, and foreign direct investment.
Dr. Contractor has written well over a hundred scholarly papers. Prof. Contractor has among the highest citation counts amongst scholars in the field of International Management (Academy of International Business (AIB). He has served Rutgers University in many capacities such as Department Chair for the International Business Department for six years. He also writes articles covering contemporary issues dealing with International Business for a worldwide audience in 133 nations (as of July 2016), for executives, students and the thoughtful public at https://globalbusiness.me/
Rutgers Business School Asia Pacific is a subsidiary of Rutgers, The State University of New Jersey (USA). Rutgers offers the highly ranked Executive Master of Business Administration (EMBA) Program to talented professionals in Singapore. In addition to the EMBA program, we are also offering open enrolment and customised Executive Education programs for both individuals and corporates. The EMBA program is completed in Singapore. Graduates of the Executive MBA program in Singapore earn a Master of Business Administration (MBA) degree conferred by Rutgers, The State University of New Jersey (USA).