In Depth Accounts of the Advantages of Joint Ventures

Joint Ventures in the simplest of words is 'sharing'. You share ideas, share capital, share profits, share work and share even the risks of a business. Why would you want to share profits with someone else or with another company? The reason is because in the long run, if you do things right of course, this can be more profitable for you than if you did it on your own.

Small business can face great opportunities if they form or become a part of a joint venture. Let’s face it; no one person can do everything on their own. That’s why people get married, that’s why you have a substitute teacher, that’s why countries have vice presidents and advisors as well. By properly choosing and implementing joint ventures in your business you can use your expertise and the expertise of another company to do so much more than what you could imagine doing on your own.

Some advantages you can get form Joint Ventures are extending your marketing reach, getting more access to information and resources, having better credibility with your targeted markets and gaining new markets on top of that. Let’s take Sony Ericsson for example. Sony is a Japanese electronics company and Ericsson is a Swedish telecommunications company. They don't have anything in common really, but that’s a good thing. See, Sony was known for its consumer electronic expertise while Ericsson had technological leadership in the communications sector. Combine those two elements and now you have one of the Top 5 cell phone manufacturers in the world.

Two small businesses can do the same. It's a matter of teaming up with someone who has what you lack. You don't have to be on opposite sides of the world, it could just be a matter of being on the opposite side of the road. A simple combination of French fries and ice cream could hit a mini gold mine if the idea is thoroughly thought out and implemented in the right place at the right time. As for getting more access to information and resources, this could be in the aspect of knowing people.

Connections mean a great deal in business, because with the right ones it can make things a lot easier (just don't go owing too many people favors as that may lead to future headaches). If you have the perfect business in mind but can't find the right location, someone who does have a connection to a great location could be your answer. You have the idea and they have the resources to put that idea in reality.

Joint Ventures have advantages in marketing as you'll have two sets of hands and two heads doing it. Just make sure that everything is on paper, and that you have agreed to who decodes what and how things will be done as not to cause problems in the future.

Here's to your Success!

Rivers
MeetRivers.com


PS...Award Winning Global Entrepreneur, Rivers Corbett offers entrepreneurs an insight into what prevents most entrepreneurs from experiencing success. Rivers series 13 Fears of an Entrepreneur is must knowledge for any entrepreneur wanting to succeed at any level in business. Click on DiscoverTheKnowledge.com for more information and also receive his FREE gift of what started him on his global entrepreneurial journey.