Joint Venture

Knowledge Center

   

Description of Joint Venture. Explanation.

Contents

  1. Summary
  2. Forum
  3. Best Practices
  4. Expert Tips
  5. Resources
  6. Print
 

Definition Joint Venture. Description.


A Joint Venture (JV) is a strategic business partnering and legal agreement resulting in the creation of a new legal entity by two or more businesses to mutually accomplish a business objective. It is one type of Strategic Alliance.


The parties agree to create a new legal entity together by both contributing equity, and they usually share assets, costs, risks, profits, other rewards, and the control of the enterprise. The venture can be for one specific project only, or it can be a long-term continuing business relationship.


reasons for forming a Joint Venture

  • Share costs and risks.

  • Improve access to financial resources.

  • Achieve economies of scale.

  • Share / access new technologies.

  • Share / access innovative managerial practices.

  • Share / access foreign markets / customers.

  • Influence the evolution of an industry (by combining the strengths of the two parties).

  • Pre-empting competition.

  • Defensive response to blurring industry boundaries (build a presence in unclear terrain).

  • Create stronger competitive units.

  • Increase time to market.

  • Achieve better Organizational Agility (when 2 large entities create a small and flexible JV).

  • Achieving cross-organizational "synergies". See: Synergy, Relational Capital.

  • Diversification.

  • Off-Balance Sheet Financing.


Joint Ventures Forum
  Cases of Joint Ventures. Examples
Hi, do you know of a spectacular case or a famous ...
     
 

Joint Ventures Special Interest Group


Special Interest Group

 

Best Practices - Joint Ventures Premium

Expert Tips - Joint Ventures Premium

Resources - Joint Ventures Premium

Strategic Alliances and Joint Ventures

This presentation introduces the concepts of Inter...
Usage (application): Strategic Alliance, Joint Venture, International Joint Venture
 

Overview of All Forms of Corporate Restructuring

Presentation that provides a comprehensive overvie...
Usage (application): Restructuring
 

Global Strategic Alliances

Presentation about Global Strategic Alliances, inc...
Usage (application): Strategic Alliances, Equity Joint Ventures, Cooperative Joint Ventures, Joint Exploration, Joint R&D
 
 

News about Joint Ventures


     
 

Videos about Joint Ventures


     
 

Presentations about Joint Ventures


     
 

More about Joint Ventures


     

Compare also: Acquisition Integration Approaches  |  Special Purpose Vehicle  |  Strategic Alliance  |  Coalition  |  Spin-Off  |  Synergy  |  Alliance Network  |  Disaggregation  |  Divestiture  |  Start-up Company

Special Interest Group Leader

You here


 

Return to Management Hub: Finance & Investing  |  Human Resources  |  Strategy


More on Management  |  Return to Management Dictionary  | 

 

This ends our Joint Venture summary and forum.

About 12manage | Advertising | Link to us | Privacy | Terms of Service
Copyright 2017 12manage - The Executive Fast Track. V14.1 - Last updated: 23-9-2017. All names tm by their owners.