题目内容

Strategic alliances often make use of written contracts rather than more formal legal structures such as a corporation.

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The major disadvantages of a sub-chapter S corporation are that the number of shareholders is limited, corporate shareholders are excluded, it must distribute all of its earnings, the liability of shareholders is limited, and it can issue only one class of stock.

Unlike other legal structures, a corporate structure does not have to be dissolved because of the death of the owners or if one of the owners wish to liquidate their ownership position.

A corporate legal structure is seldom used in implementing business alliances, because it may be subject to double taxation and significant set up costs.

Poorly defined roles and responsibilities are an important factor contributing to the failure of many alliances to achieve their objectives.