
236 CHAPTER 10 CORPORATE GOVERNANCE AND THE LEGAL ENVIRONMENT
IV. STRATEGIC ALLIANCES
Strategic alliances are formal operating agreements between independent compa-
nies that also can be viewed as corporate governance mechanisms. These combi-
nations are increasingly used to improve foreign marketing. Cereal Partners
Worldwide, a strategic alliance between General Mills, Inc. and Nestlè, is used to
market breakfast cereal products. Snack Food Ventures Europe, a partnership
between General Mills and Pepsico, markets snack foods in Belgium, France,
Holland, Spain, Portugal, and Greece. Another proposed alliance between British
Airways and American Airlines ...