10 Reasons To Form A Strategic Business Alliance

A strategic alliance is when two or more businessesjoin together for a set period of time. The businesses,usually, are not in direct competition, but have similarproducts or services that are directed toward thesame target audience. Below are ten reasons tocreate a strategic alliance.
1. You could offer your customers a larger variety ofproducts or services. This will allow you to spendless time and money developing new products to sell.
2. Your number of sales people will increase becauseyou're combining with other business. You won't havespend to time and money hiring new employees.
3. Your marketing and advertising budget will increase.When you form a strategic alliance with other businessesyou both will share the advertising and marketing costs.
4. You can now offer your existing customers moreback-end and upsell products. This will increase yoursales and profits.
5. Your business will gain a larger number of skilledpeople working on the same project. You will gainthe knowledge of the other businesses employees.
6. You will be able to beat your competition by sellingto a larger target audience. You will also increase thetotal number of existing customers you can sell yourproducts and services to.
7. You can exchange endorsements with your alliancepartners. You'll add more credibility to your businessand gain your potential customers trust to buy.
8. You can expand your business more rapidly. Youcan develop new products and services faster witha larger work force.
9. You'll be able to solve your customer's problemsfaster with a larger base of customer service people.You'll also learn new ways to improve your customerservice from your alliance partners.
10. You'll have a larger number of "strategic thinking"people. This will allow both businesses to come upwith profitable business ideas quicker than before.