Cad Cream Inc., an ice cream company, has collaborated with Bite Snack Inc., a food manufacturing company, to come up with a third company, Cream Bite Inc. This new company manufactures energy bars with a variety of flavors. In this context, Cream Bite Inc. is a _____.
A) joint venture
B) global new venture
C) multinational franchise
D) wholly owned affiliate

Question

Quizplus · Accepted Answer

Cream Bite Inc. is a joint venture, which is a type of business partnership where two or more companies collaborate to create and operate a separate entity.