More than half the companies polled by Coopers & Lybrand have entered alliances in the past five years -- often to leverage their marketing dollars. Service companies do more deals (current average: three) and experience more bad matches than manufacturers do.

Kinds of strategic alliance and percentage of respondents involved in alliances in the past five years

Product companies Service companies
Joint marketing/promotion 30% 44%

Joint selling/distribution 26 33

Technology license 17 24

Design collaboration 20 18

R&D contracts 14 17

Outsourcing functions 10 16

Production arrangements 20 9

Source: "Trendsetter Barometer," a survey of 170 service and 230 product companies with average sales of $13.5 million, by Coopers & Lybrand, New York City, June 1993.