Should early-to-mid-stage companies prioritize potential partners based on their market strength?
Going after the market leader isn’t always the best approach. If you’re a small company, the #1 player in the market you’re targeting probably isn’t as motivated to talk to you. But the #2 or #3 or #4 firm in the market could be “hungrier” and more willing to take risks. You might often find success in partnering with companies that are looking to be the best, rather than those firms that are already at the top. How do you go about managing multiple partners? Managing multiple partners is part of the process. Unless that partner is a huge multinational firm, a single partner is not going to be as effective as a network of partners in getting you the market reach and breadth of complementary capabilities you are likely seeking. Additionally, even if you do hit the jackpot and sign up a huge multi-national firm as a strategic partner, you will run into trouble if you wind up becoming overly dependent on one partner for your survival. I’ve experienced this first hand. So managing a networ
