A joint venture can be dangerous to a company if its partner is acquired by a competitor.

Question

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If a company's joint venture partner is acquired by a competitor, it can lead to a situation where the competitor gains access to the company's confidential information, trade secrets or technology, thereby risking the company's interests and competitive advantage. It can also lead to a strained business relationship or even termination of the joint venture, causing financial losses and damage to the company's reputation. Therefore, a joint venture can be dangerous to a company if its partner is acquired by a competitor.

A Joint Venture Can Be Dangerous to a Company If