Joint venture

Type :

Term papers

Pages :

3 pages

Format :

.doc

Published date :

06/16/2009

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Summary :

 
 

Table of Contents Joint venture Table of Contents

 
  1. Introduction to joint-venture
  2. Various definitions of joint-venture
  3. Advantages and disadvantages of joint ventures
  4. Case study: Bajaj Auto plan joint-venture in Indonesia
  5. Conclusion
  6. References

Abstract

A joint venture is the long-term commitment of funds, facilities and services by two or more legally separate interests, to a combined enterprise for their mutual benefits.

A joint venture need not be a separate legal entity or company. Other forms of joint ventures include an agreement to work together formalized through a Heads of Agreement or a Strategic Cooperation Agreement.

joint ventures are most commonly entered into to get around a trade barrier that is preventing your entry into a target market. Another way of circumnavigating a trade barrier is to establish a wholly owned manufacturing or assembly subsidiary in an overseas market; however, many companies find the joint venture route a better option. A joint venture achieves many of the advantages of a fully owned operation, without the long lead-time and at a fraction of the cost.

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About the author :

pencil image Shreyas k. editor
Level :General public Study : Finance School/University : Bangalore university