Strategic Alliances, Collaboration and Joint Ventures Case Study

Strategic Alliances in the Automobile Industry (C): The Fiat-GM Alliance

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Abstract:
Last in the 3 part case series on strategic alliances in the automobile industry, this case study dwells on the Fiat’s and GM’s life after the alliance. While normalcy returned with ease at GM, as the US behemoth continued with its customary operations, Fiat exhibited vivacity by entering into a number of collaborative ventures - termed as ‘targeted alliances’ – with automakers from various countries, especially from the developing countries. Though the company tried to project the alliances as ‘business-as-usual’, experts say that it manifests its wretched condition and need for support of other companies to survive. This case helps analyse how such deals would help the company sustaining the fierce competition and withstand its financial losses. Could the company find an apt partner in any of its new allies? Can any alliance tick for long? How far can Fiat stand on the support of other companies?

Pedagogical Objectives:

• The case study is meant to help debate how far new alliances formed at the wake of the collapse of one alliance would help the company's cause. The case also helps discuss hat necessary steps for a company to ensure that its desperateness should not engulf business logic.

Keywords : Alliances in global automobile industry; Fiat-GM Alliance; Cross-border consolidation; Ford-Fiat alliance; Tata-Fiat Alliance; Fiat and targeted alliances; Fiat in Europe; Negotiations in automotive industry; Mergers,Acquisitions,Alliances Case Study; Fiat in Italy

Contents : 
Operating Performance of Fiat’s Automobile Business
Fiat’s Line-up Of New Models