MGT 401 SEU Strategic Alliances in Saudi Arabia Discussion

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Business Finance

MGT 401

Saudi electronic university



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Kingdom of Saudi Arabia Ministry of Education Saudi Electronic University ‫المملكة العربية السعودية‬ ‫وزارة التعليم‬ ‫الجامعة السعودية اإللكترونية‬ College of Administrative and Financial Sciences Assignment 3 Strategic Management (MGT 401) Deadline: 04/12/2021 @ 23:59 Course Name: Strategic Management Student’s Name: Course Code: MGT401 Student’s ID Number: Semester: First CRN: 12661 Academic Year:2021-22 For Instructor’s Use only Instructor’s Name: Dr Mohammed Mallick Students’ Grade: 00/05 Level of Marks: High/Middle/Low Instructions – PLEASE READ THEM CAREFULLY • • • • • • • • The Assignment must be submitted on Blackboard (WORD format only) via allocated folder. Assignments submitted through email will not be accepted. Students are advised to make their work clear and well presented, marks may be reduced for poor presentation. This includes filling your information on the cover page. Students must mention question number clearly in their answer. Late submission will NOT be accepted. Avoid plagiarism, the work should be in your own words, copying from students or other resources without proper referencing will result in ZERO marks. No exceptions. All answered must be typed using Times New Roman (size 12, double-spaced) font. No pictures containing text will be accepted and will be considered plagiarism). Submissions without this cover page will NOT be accepted. Assignment No 3 Learning Outcomes: 1. Distinguish between different types and levels of strategy and strategy implementation (Lo.3) 2. Gain insights into the strategy-making processes of different types of organizations (Lo.4) 3. Understand issues related to strategic competitive advantage in diversified organizations (Lo.6) From real national/international market, select any type of strategic alliance between two firms and answer the following questions: 1. Briefly introduce your chosen firms, partners of the strategic alliance (industry, nationality, size, market position…). (1Mark)- Max 150 words 2. What is the type of strategic alliance used by your chosen firms? Explain its different reasons. (1Mark) 3. What is the method used by the firms to manage their cultures after alliance? underline the pros and cons of this method. (1 Mark) 4. Is this strategic alliance successful? Justify. (1 Mark) 5. What recommendations can you give for the managers of these firms to improve their competitiveness? (1 mark) Note. All references used should be listed by the end of your analysis, using the APA style. Answers
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Strategic Alliances in Saudi Arabia
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In December 2019, the business world witnessed a strategic alliance formed between the
Saudi Basic Industries Corporations (SABIC) and Japan’s Yokogawa Electric Corporation.
SABIC is a state owned enterprise that was founded in 1976 by royal decree, with its
headquarters in Riyadh, Saudi Arabia. It is ranked among the world’s largest petrochemicals
manufacturers. It operates through three Strategic Business Units including Petrochemicals,
Agri-Nutrients and Specialties. The company has over 32,000 employees distributed around the
50 countries where it operates ("SABIC - About", n.d.). Yokogawa Electric Corporation was
founded in 1915, with its headquarters in Tokyo, Japan. The electrical engineering and software
company has 118 branches worldwide within the 61 countries they operate in, including Saudi
Arabia. With a workforce of 17,715 employees, the company combines the use of superior
technology with engineering, project management and maintenance to provide Industrial
Automation and Test and Measurement solutions ("Yokogawa Electric Corporation", n.d.).
Strategic Alliance
The SABIC and Yokogawa Electric Corporation firms use the non-equity strategic
alliance. This type of strategic alliance allows both firms to share their resources without sh...

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