Strategic alliances and collaborative networks as a competitive alternative for small retailers: a comparative study

Abstract

Early in the 21st Century studies have focused on strategic alliances in industrial segments through integration of the productive chain. This cooperative strategy targets the acquisition of competitive advantages in highly competitive activities. Profits of small and medium retailers have also suffered from sharpened competition by large international networks since 1990, which has caused them to search for and adopt more competitive alternatives. Purchasing advantages have been strengthened by their collaboration in networks in order to increase bargaining power. This activity is described as well as the benefits and obstacles of establishing associative networks with competitors. Analyses of the formation of a network of supermarkets and another of building material stores present the advantages and disadvantages involved for small retailers.