Investor Glossary-joint ventureInvestor Glossary-joint ventureInvestor Glossary-joint ventureInvestor Glossary-joint ventureInsightful stock market charts - Click here
investor
Categories    # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

Joint Venture

The HTML to link to this page
 

In law, a joint venture, commonly abbreviated JV, is a contractual strategic partnership between two or more entities to pursue a business opportunity. The term joint venture implies a specifically defined opportunity, but the scope of a joint venture agreement can be very broad. The partners in a joint venture each contribute resources, in exchange for an equity stake a share in any resulting profits. Sony Ericsson is a noteworthy example of a joint venture. This London-based joint venture leverages the consumer electronics know-how of Japan's Sony and the telecommunications expertise of Sweden's Ericsson to make mobile phones. Another well-known joint venture is Cingular Wireless, which was formed in 2001 by SBC and BellSouth. As these examples illustrate, one or more of many possible different rationales, such as business synergy, geographic complementarity, or cost sharing, can motivate a joint venture.



Rate this joint venture definition...

Learn about investing with the Investor Glossary Term of the Day


Click here for insightful stock market charts. Where is the market headed? The answer may surprise you. Find out
with the exclusive & Barron's recommended charts of Chart of the Day.


Popular Terms: reverse mortgage, deferred revenue, 144a, current ratio, required rate of return, option premium, implied volatility, class C shares, ex-dividend, inflation, per diem, balance sheet, in escrow, cancelled check, margin rate, FICO score, stock split, 1035 exchange, average price per share, retained earnings, real GDP, 1031 exchange, Zero Cost Collar, ex-dividend date, 401a, LIBOR, open position, annual return, stock market close, deferred tax, minority interest, covered put, irrevocable trust, VIX, FTSE, liquidity ratio, wholly-owned subsidiary, APR, diluted share, limit order, command economy, debt service coverage, quality assurance, EBITDA, Key Rate Duration, phantom income, risk management, labor relations, dividends payable


Accounting | Banking | Bonds | Brokers | Economy | Futures | Mutual Funds | Options | Real Estate | Retirement | Stocks | Taxes | Technical Analysis
Home | Term of the Day | Suggest a Term | Chart of the Day | Dogs of the Dow
©2004-2016 Investor Glossary - All rights reserved - Terms of Use