Important Factors To Be Considered before a JV is Formed

Screening of prospective partners;

Looking for business synergies, matching goals, complementary distinctive capabilities and  core competencies;

Joint development of a detailed business plan and shortlisting a set of prospective partners based on their contribution to developing a business plan;

Due diligence ‒ checking the credentials of the other party ("trust and verify" − trust the information you receive from from the prospective partner, but it's good business practice to verify the facts through interviews with third parties);

Development of an exit strategy and terms of dissolution of  the joint venture;

Most appropriate structure (e.g. most joint ventures involving fast growing companies are structured as strategic and synergistic corporate partnerships);

Availability of appreciated or depreciated property being contributed to the joint venture; by misunderstanding the significance of appreciated property, companies can fundamentally weaken the economics of the deal for themselves and their partners;

Special allocations of income, profit, loss or deduction to be made among the partners;

Compensation to the members that provide services.




The Role of the Business Architect

Business Architect is a person that initiates new business ventures or leads business innovation, designs a winning business model, and builds a sustainable balanced business system for a lasting success.

Business architects can be found in a multitude of business settings: corporate change leaders, initiators of joint ventures, managers of radical innovation projects, in-company ventures, spin-outs, or new start-up ventures. Although the settings in which business architects act are different, they all design and run a new venture to achieve its sustainable growth... More








Why Joint Ventures Fail

The most common causes of failure cited by CEOs are Cultural differences; Poor or unclear leadership; Poor integration process.. More




Joint Ventures / Partnerships, Hewitt

Joint Ventures: Minimizing Risk and Maximizing Success, Hewitt

Close Connections, Ranjit Shastri

Trusted Partners, Jordan D. Lewis

Joint Ventures Revealed, PlugInForProfit

Mastering Alliance Strategy, James D. Bamford, Benjamin Gomes-Casseres, Michael S. Robinson

Strategic Alliances: Three Ways to Make Them Work (Memo to the Ceo), Steve Steinhilber

Happy About Joint-Venturing: The 8 Key Critical Factors of Success, Valerie Orsoni-Vauthey