Ten high-technology companies joined forces to produce and market their products in China. By joining together, these companies were able to enter the Chinese market for the first time. A good name for this type of arrangement is a consortium.

Question

Quizplus · Accepted Answer

In this case, the arrangement by the ten high-technology companies to produce and market their products together in the Chinese market is an example of a consortium. Consortia are similar to joint ventures and could be classified as such except for two unique characteristics: (1) They typically involve a large number of participants and (2) they frequently operate in a country or market in which none of the participants is currently active.

Ten High-Technology Companies Joined Forces to Produce and Market Their