Strategic Management Case of Volkswagon and Suzuki Essay

Strategic Management Case of Volkswagon and Suzuki - Essay Example Strategic management can be defined as a bundle of strategies that managers in an organization adopt and implement to positively influence the direction of the organization. These strategies will normally affect the performance of the company, and are desired to give the company a competitive advantage over other industry players. A global strategic partnership involves two or more organizations coming together and pooling resources in a bid to reach a wider market and strengthen their competitive advantage (Jeschke, 2008). In today’s business environment where there is massive competition from various players in the market, strategic management becomes a very important tool for survival. Strategic management gives an organization a fresh way to look at the existing business environment to remain both profitable and relevant amidst competition. In a bid to achieve relevance, organizations also link up together in strategic alliances to jointly pursue opportunities either in th e same operating environment or in a different one.The case between German carmaker Volkswagen and Japanese’s Suzuki is a classical case of how organizations pursue the concept of strategic alliances for gaining competitive advantage in their operations. The partnership between Volkswagen and Suzuki has been described by many analysts as a straightforward venture. This is because each organization had clear objectives that would easily be met upon the completion of the partnership.