The most typical joint venture is a 50/50 venture, in which there are

QUESTION

The most typical joint venture is a 50/50 venture, in which there are two parties, each of which holds a 50 percent ownership stake and contributes a team of managers to share operating control.

Indicate whether the statement is true or false.

ANSWER

TRUE
A joint venture entails establishing a firm that is jointly owned by two or more otherwise independent firms. The most typical joint venture is a 50/50 venture, in which there are two parties, each of which holds a 50 percent ownership stake and contributes a team of managers to share operating control