Strategic alliances and mergers & acquisitions are options to supplement a firm's competitive strategy. Alliances allow firms to share resources, risks, and control to access new markets and technologies faster. Mergers and acquisitions allow tighter integration but come with integration challenges. Vertical integration through backward or forward strategies can generate cost advantages but also increase risks. Outsourcing non-core activities can improve flexibility and innovation if not overused. Offensive strategies proactively build advantages while defensive strategies protect them from rivals' attacks.