When Partners in a Strategic Alliance Form a New Business

question 139

Multiple Choice

When partners in a strategic alliance form a new business unit in which each takes an ownership position,they have created a:

• A)joint venture.
• B)collusion organization.
• C)development team.
• D)merged organization.

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Definitions:

Mortgagee

The lender in a mortgage agreement, typically a bank or financial institution, that has the legal rights to the property as security for the loan provided.

Further Loan

Additional borrowing extended on top of an existing loan, often to supplement initial financing.

Commercial Tenancy

An arrangement where a business leases or rents commercial property from a landlord for use as business premises.

Lessee

A person who leases or rents property from another called the lessor, typically under a lease agreement.