If Pepsi and a Turkish firm established a jointly owned entity for the purpose of bottling soft drinks in Turkey,that would be an example of a:
A) turnkey project
B) wholly owned subsidiary
C) joint venture
D) franchise
E) merger

Question

Quizplus · Accepted Answer

A joint venture is a business arrangement in which two or more firms come together to form a new entity for a specific purpose or project. In this case, Pepsi and the Turkish firm are joining forces to establish a new company for bottling soft drinks in Turkey. This would be considered a joint venture, as both parties would have joint ownership and control over the entity. A turnkey project typically involves a contractor providing a complete project to a client, a wholly owned subsidiary is a company that is completely owned by another company, a franchise involves a company licensing the use of its brand and business model to other individuals or firms, and a merger involves two or more companies combining to form a new entity.

If Pepsi and a Turkish Firm Established a Jointly Owned