The Disadvantages of Joint Venturing Can Include All of the Following

question 75

Multiple Choice

The disadvantages of joint venturing can include all of the following except:

• A) Joint venture partners must share rewards as well as risks.
• B) Joint ventures allow partners to achieve synergy.
• C) Joint ventures can have the potential for conflict between partners.
• D) A dynamic joint venture partner can evolve into a strong competitor.
• E) A company incurs very significant costs by joint venturing.

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Definitions:

Functional Diversity

Variety within a group or organization achieved through including members with different skills, expertise, and perspectives to enhance performance and innovation.

Knowledge-based Subgroups

Groups within an organization characterized by their specialized knowledge or expertise.

Specialized Units

Distinct segments within an organization or system that focus on particular tasks, functions, or expertise.

Subgroup's Identity

The collective sense of identity shared by members of a subgroup within a larger group, often based on common characteristics or interests.