Competitive Advantage Based On The Alliance's Value Chain Integration

With the new technology revolution and development of economy globalization, competition among countries and companies has become more and more violent and the roles of transnational companies have been valued higher by many countries since twenty 80s'. Meanwhile, the oversea expansion of transnational companies faces many challenges because of the intense international competition and rapid development of district corporations. To improve the competition advantages and occupy market as soon as possible, the transnational companies should not only promote internationally direct investment featured with transnational purchase, but also build strategic union and conduct joint competition. While technology is pervading, cost is rising ever and the commercial protect is prevailing, the strategic union has become an indispensable part of business strategies. As an operation model of business cooperate competition, strategic union breaks the old absolute competition model and realizes win-win development and has been recognized and applies widely in business. Strategic union is an important strategy for gaining competition advantages and achieving rapid growth, and is also a growth model used most widely by western successful business entering into the new foreign markets. Through theories and applications of strategic union, the paper analyzes the relation between value chain integration based strategic union and business competition advantages from the view of business value chain. As an economy entity, in order to gain and keep competition advantages, the business should know and organize its value chain on one hand, and try to find its most potential partners on the other hand. This paper aims to describe corporation competitive advantage based on value chain integration through strategic union in many aspects. The strategic union can help the businesses get through the obstacle in limited money, human force and technology by integrating resources and cooperation. But the strategic union will not always bring benefits. Since the diversity of business culture and lack of confidence among union members, the strategic union cannot achieve the expected goal sometimes. So this paper applies the research contribution to Chinese business in practice, and brings forward suggestions for carrying value chain integration through strategic union in Chinese businesses from the strategic view, which makes this paper bear much more practical significance and reference value for promoting international competition.