By Lawrence M. Fisher Independence and integration used to be hallmarks of strength for American corporations. Today they could be signs of weakness as companies large and small rush to spin intricate webs of strategic alliances. With technology in a constant state of change, transforming one industry after another in its wake, no company can afford to hang on to the status quo for long. But neither can it predict with assurance which promising piece of technology will pan out, spinning off tomorrow's hot new product.
Alliances are the places to hedge all bets.
Some alliances are between partners of like size, whether big or small, who have reason to come together on a particular project. Big companies are looking to sign up with small companies to tap into their cutting-edge research and entrepreneurial energy. Small companies are looking for the deep pockets and vast distribution networks that big partners offer. And both sides like the fact that they can start a relationship without tying the knot for all time. In short, alliances are a less costly, less risky and more flexible way to acquire capabilities than are outright acquisitions.