How to Form International Joint Ventures

Forming an International Joint Venture is a complex process that needs a thorough understanding of the legal, economic and cultural backgrounds of the companies that are to form the venture. This also includes a complete legal documentation and complete agreement of both parties in their terms and conditions. Thus, an assistance of corporate lawyers well versed in international laws is needed to get the thing done.

In addition to this, comprehensive planning and consultation to the lawyers are necessary to make it successful, a win-win situation for the ventures’. Focusing on the goals the companies want to achieve, profit and resource sharing of their products and services are also needed. To narrow it down, this involves the following:

• Transfer of Technology
• Coming up a Board of directors for the new formed company
• Management
• Accounting
• Environmental issues
• Employee related facts
• Taxes
• Commissions
• Dispute resolution agreements and
• Termination of the venture

Their organization's representatives/joint venture team should discuss these specific terms and conditions, and its task and outputs. When everything seems to be going smoothly, the team should monitor and manage all the incoming changes and unanticipated events that may occur during the process. This will ensure the survival of the venture in all the dilemmas it may have. Hence, representatives of both companies in the venture make sure that every action taken is done for their betterment.

The venture should also have a relatively and completely different target/goal that will certainly promote growth to their revenues. A few good examples of such are the Google and Samsung partnership that consolidated their goals and resources and came up with Google phone; CNN and ESPN Partnership, Texas Instrument or Intel and Brazilian universities, who despite the risks, have managed to make it successful. With a team conditioned to have a progressive mindset that appropriately adapts to the ever changing, dynamic business phenomena, automatically refers to the well-discussed and agreed terms and conditions, and take corrective actions, sometimes out of the box, if necessary; the venture will flow like water.

Here's to your success
Rivers Corbett
MyInternetBiz

"Award Winning Entrepreneur, and Joint Venture Specialist, Rivers Corbett offers an exclusive and exciting opportunity to a limited number of entrepreneurs who are looking to steer clear of the typical ''Get Rich Quick'' hype and build a solid business of * lasting *significance. Click on http://myinternetbiz.ca for more information.