Question

The management at torque autos inc. and redwing automobiles inc. realized that by combining the two entities the stakeholders of both the companies would benefit. their core competencies would act as complementary assets to each other. consequently, redwing automobiles joined together with torque autos to form a combined entity called torquewing autos inc. which form of strategic alliance does this scenario best illustrate

Answer 1

The scenario best illustrates a merger. A merger describes the joining of two independent companies to form a combined entity. Mergers tend to be friendly; in mergers, the target Frm would like to be acquired The management at Torque Autos Inc. and RedWing Automobiles Inc. realized that by combining the two entities the stakeholders of both the companies would benefit. Their core competencies would act as complementary assets to each other. Consequently, RedWing Automobiles joined together with Torque Autos to form a combined entity called TorqueWing Autos Inc.