Herbie recently read that Crane Airways of Japan,Kestral Airlines of Germany,Heron Air of Australia,and Egret Airways of India have code sharing,which allow passengers to fly on any of the airlines,share frequent flyer miles,and give each other logistical support.Herbie had just learned in his Global Marketing class that this arrangement is known as a _________.
A)Franchise
B)Joint venture
C)Joint venture with minority ownership
D)Strategic alliance
E)Licensing

Question

Quizplus · Accepted Answer

A specific type of strategic alliance called joint venture enables many companies to enter a market that would otherwise be closed because of legal restrictions or cultural barriers. Additionally, like all strategic alliances, it reduces risk by spreading risk to other partners.

Herbie Recently Read That Crane Airways of Japan,Kestral Airlines of Germany,Heron