An arrangement in which a domestic firm partners with a foreign company to create a new entity,thus allowing the domestic firm to enter the foreign company's market,is known as

Question

Quizplus · Accepted Answer

A joint venture involves two or more companies coming together to form a new entity. This new entity operates as a separate business and both companies share the costs, risks, and profits of the venture. In this case, a domestic firm partners with a foreign company to create a new entity which enables the domestic firm to enter the foreign company's market. Therefore, a joint venture is the best choice for this scenario.

An Arrangement in Which a Domestic Firm Partners with a Foreign