What Is the Primary Distinction Between a Joint Venture and a Strategic

question 74

Multiple Choice

What is the primary distinction between a joint venture and a strategic alliance in international marketing?

• A) Strategic alliances are only formed between companies from well-developed countries whereas joint ventures are between companies from economically-diverse countries.
• B) A joint venture involves only two companies whereas a strategic alliance is formed between three or more companies.
• C) A joint venture is defined in scope, while a strategic alliance is typically represented by an agreement to work together.
• D) A joint venture is formed between companies with dissimilar product offerings while a strategic alliance is formed between companies with similar product offerings.
• E) A joint venture is simply a financial investment in a foreign firm while a strategic alliance involves more than just financial support.

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Definitions:

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