Final answer:
Strategic partnerships between industry rivals and suppliers are generally formed to access resources, enhance innovation, reduce supplier power, and cut costs, not to strengthen competitive rivalry, which is typically not a desired outcome of such partnerships.
Step-by-step explanation:
The reason that is NOT a motive for industry rivals to enter into strategic partnerships with key suppliers is E. Strengthening competitive rivalry in the industry. Industry rivals typically form strategic partnerships for reasons such as A) Gaining access to essential resources and capabilities, B) Enhancing innovation and product development, C) Reducing the bargaining power of suppliers, and D) Minimizing production costs, as these factors contribute to a company's competitive advantage and operational efficiency. However, strengthening competitive rivalry is generally not a desired outcome of such partnerships, since the aim is often to mitigate competition amongst rivals, rather than exacerbate it.
Competitors may cooperate in lobbying associations because they might have common issues affecting the whole industry or they can benefit from governmental policies as a collective. This cooperation is evidenced when firms must reach economies of scale, especially in industries characterized by high costs of production or marketing that favor larger-scale firms, and when firms need to liaise on common concerns such as regulatory challenges.