In a(n) ____, two or more firms create a legally independent company to share some of their resources and capabilities to develop a competitive advantage.
A) equality-based strategic alliance
B) non-equity strategic alliance
C) joint venture
D) equity strategic alliance

Question

Quizplus · Accepted Answer

A joint venture is a type of strategic alliance where two or more companies create a legally independent company to share resources and capabilities for mutual benefit. This new company operates independently and is owned by the parent companies, who may contribute capital, technology, or other resources to the venture. Joint ventures are often formed to enter new markets or achieve economies of scale that would be difficult to achieve individually. They are distinct from equity-based strategic alliances, where one company invests in another, and non-equity strategic alliances, which involve cooperation without a formal partnership.

In A(n) ____, Two or More Firms Create a Legally