dership position based solely on superior, advanced technology. This results because of the increasing number of critical technologies embedded in the majority of products, therefore, no one can keep the technology out of the hands of competitors around the globe. Thirdly, Ohmae emphasizes the importance of fixed costs. He believes that companies can no longer compete by keeping their variable costs lower than their competitors. The majority of costs incurred by companies these days are fixed costs, therefore, what matters is maximizing marginal contribution from fixed costs and a logical way to do this through forming strategic alliances. The final issue Ohmae identifies is dangers of equity. Today's!
             business environment is full of imperfect options and control of a company does not necessarily translate into success. This points to strategic alliances as being a fast, less risky and profitable way to enter the global arena.
             Ohmae finishes his article with the "logic of entente". In this section there are two main points: the shift from return on investment to return on sales and likening strategic alliances to a marriage. The author believes that the shift in thinking to focus on return on sales is a must in order for strategic alliances to be successful and their benefits realized. A strategic alliance, just like a marriage, often has no formal contract, only guidelines and expectations. However, if partners do not have mutual guidelines and expectations, nor work on an evolving relationship, then the alliance will end in divorce.
             The author highlights the fact that not one scholar focuses on the study of inter-company relationships. Ohmae believes that, given the importance of joint ventures and strategic alliances in today's competitive global environment, this is an area where future research is required about what makes successful corporate relationships.
             During the 1980s and 1990s, there has been numer...