Which of the following statements best describes global expansion through a strategic alliance?
A.
In a strategic alliance, a firm enters a new market and forms a new company with shared ownership, profits, and controls.
B.
A strategic alliance is a relationship in which two firms collaborate on a business opportunity, but do not invest in each other.
C.
In a strategic alliance, two firms enter into a franchise agreement.
D.
In a strategic alliance, a firm in one country sends products to a firm in another country.
E.
In a strategic alliance, a firm signs a trade agreement with a firm in another country.
Answer: B