Which of the following is a disadvantage of joint ventures as a means to acquire new technology?
A) It is the most expensive and time-consuming way to develop new technology.
B) It makes a firm solely dependent on its internal development capabilities.
C) Coordination costs can be high and organizational cultures can clash, limiting the outcomes.
D) Purchase of a company can be expensive.
E) It fails to establish a new company.

Question

Quizplus · Accepted Answer

Joint ventures can be challenging as coordination costs can be high and organizational cultures can clash, leading to limited results. This can make it a disadvantageous means of acquiring new technology.

Which of the Following Is a Disadvantage of Joint Ventures