In the Joint Venture Between Stephanie's Dressmaking Shop and Kevin's

question 31

Multiple Choice

In the joint venture between Stephanie's dressmaking shop and Kevin's fabric factory,the partners argue constantly about how to schedule tasks and reward workers.Which of the following disadvantages is Stephanie and Kevin's joint venture experiencing?

• A)Joint ventures risk the loss of proprietary information to a partner.
• B)Joint venture partners must split the profits of the business.
• C)Joint venture partners must share control and decision-making power.
• D)Joint ventures are slower to reach profitability than are acquisitions.
• E)Joint ventures require less up-front investment than do internal new ventures.

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Definitions:

Buffer

A temporary storage area used to manage data transfer between devices or processes that operate at different speeds or with different priorities.

Explanation

A statement or account that makes something clear by describing it in more detail or revealing relevant facts.

Positive Statement

A factual assertion that can be tested or verified, often used in economics to describe how the world is, as opposed to how it should be.

Indirect Approach

A communication method where the main point or message is not directly stated at the beginning, often used in writing or speech to build suspense or be polite.