Abstract
As the preceding case illustrates, the global strategic alliance (GSA) has become a popular vehicle
for MNEs to expand globally and improve their global competitive advantage. Through
Semiconductor 300, Siemens and Motorola each gain more than they would by working individually. Global strategic alliances are cross-border partnerships between two or more firms from different countries with an attempt to pursue mutual interests through sharing their resources and
capabilities. Broadly, there are two basic types of GSAs: equity joint ventures and cooperative (or
contractual) joint ventures. The former involve equity contributions, the latter do not.