Which of the following is an advantage of joint ventures?
A)They are less expensive and easier to implement.
B)They give companies good control over their core technological competencies.
C)They always provide equal amounts of profits to both the parent companies.
D)They involve the pooling of competent managers and resources from both companies.
E)They involve minimal risks and conflicts.

Question

Quizplus · Accepted Answer

Joint ventures involve the pooling of competent managers and resources from both companies, which can lead to better decision-making and greater efficiency. This can be an advantage for both parties involved. The other options are incorrect. Joint ventures can be expensive and complex to implement, may not always provide equal profits, and can involve significant risks and conflicts. Furthermore, they may not necessarily give companies control over their core technological competencies.

Which of the Following Is an Advantage of Joint Ventures