Student question: Joint ventures

Student question: Joint ventures

by Albresha Mehmedi -
Number of replies: 1

I have a question regarding joint ventures. In Chapter 9. Foreign Operation Modes II you wrote in the learning objectives that we should understand international collaborative ventures and strategic alliances. I have understood what the difference between joint ventures and global strategic alliances is (equity vs. non equity), but I don't know what exactly is ment by collaborative ventures and I couldn't find anything explicit in my notes and the results in google were misleading.

Is collaborative ventures the generic term of all forms of joint ventures (non-equity and equity) or is it another word for equity joint ventures? Or does it have another meaning? 

Thank you

In reply to Albresha Mehmedi

Re: Student question: Joint ventures

by Erika Graf -

Non-equity joint ventures, also known as collaborative agreements, global strategic partnerships, and global strategic alliances, are a strategy for companies to work together to pursue a common goal. In other words, it is important to understand that in the context of this module the term collaborative venture is used interchangeably with non-equity JVs, strategic partnerships, and the like (Cavusgil, Knight & Riesenberger, 2020, p. 431; Kotabe and Helsen 2017, p. 282). However, the use of the term is not consistent in the literature, and other authors use collaborative venture for any form of collaboration, whether equity or non-equity based. This explains the different definitions you found in Google.