Strategic alliances and competitive strategies in the European aerospace industry: the case of BMW Rolls-Royce GmbH

Smith, D ORCID: https://orcid.org/0000-0001-7359-8451, 2003. Strategic alliances and competitive strategies in the European aerospace industry: the case of BMW Rolls-Royce GmbH. European Business Review, 15 (4), pp. 262-276. ISSN 0955-543X

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Abstract

Strategic alliances are an important feature of the aerospace industry and there have been many studies that have sought to evaluate their performance. Most have taken a policy perspective exploring the economic and political benefits claimed for collaboration of this type. The perspective is a reflection of the political origins of many aerospace alliances. This study seeks to evaluate, from a managerial perspective, one of the newer alliances established on a strictly commercial basis,. It focuses on BMW Rolls-Royce GmbH, one of a small number of truly European alliances. The study concludes that although Rolls-Royce bought out its German partner after a decade of operation, the alliance was a success. The two engines developed by the alliance over this period were a technical success, overall sales were well on target and the alliance was about to break even. In addition, the study concludes that the alliance formed a key element in Rolls-Royce‟s successful strategy to extend its product portfolio, a strategy that elevated the company to second place in the global aero engine market.

Item Type:	Journal article
Publication Title:	European Business Review
Creators:	Smith, D.
Publisher:	European Business Review
Date:	2003
Volume:	15
Number:	4
ISSN:	0955-543X
Divisions:	Schools > Nottingham Business School
Record created by:	EPrints Services
Date Added:	09 Oct 2015 10:59
Last Modified:	09 Jun 2017 13:46
URI:	https://irep.ntu.ac.uk/id/eprint/21052

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