Why do companies go for joint ventures in India?

Advantages of joint ventures Access to the established distribution and marketing channels of the Indian partner; Access to the available financial resources of the Indian partners; and, Access to the established contacts of the Indian partners, which will help ease the process of setting up operations in India.

Is Hindustan Aeronautics Limited a joint ventures?

Hindustan Aeronautics Limited (HALand Infotech Enterprises Limited (IEL) (both India) have formed a joint venture (JV) company to offer engineering design services for the aerospace sector. The partner companies would also transfer some of their personnel to the JV.

Is Hero Honda a joint venture?

“Hero” is the brand name used by the Munjal brothers for their flagship company, Hero Cycles Ltd. A joint venture between the Hero Group and Honda Motor Company was established in 1984 as the Hero Honda Motors Limited at Dharuhera, India. Munjal family and Honda group both owned 26\% stake in the Company.

Who owns Burger King in India?

Burger King India, which made its debut on the Fortune India Next 500 list at No. 319 this year, is a joint venture between the U.S. burger giant and private equity firm Everstone Capital.

Is Mahindra and Mahindra a joint venture?

US carmaker Ford Motor and Indian car manufacturer Mahindra and Mahindra had announced a joint venture last year that Mahindra was to acquire Ford’s operations in India while the American brand had to help Mahindra enter several international markets.

Who built Hal?

Shri Walchand Hirachand
The Company which had its origin as Hindustan Aircraft Limited was incorporated on 23 Dec 1940 at Bangalore by Shri Walchand Hirachand, a farsighted visionary, in association with the then Government of Mysore, with the aim of manufacturing aircraft in India.

What are the types of joint venture agreements?

Different Types of Joint Ventures. A joint venture (JV) is an agreement between two or more individuals or parties to undertake a business activity together and usually exist for a finite time. Two basic joint venture types include insider and outsider joint ventures, and their variants.

What is a joint venture and how does it work?

A joint venture (JV) is a business arrangement in which two or more parties agree to pool their resources for the purpose of accomplishing a specific task. This task can be a new project or any other business activity. In a joint venture (JV), each of the participants is responsible for profits, losses and costs associated with it.

What are the primary disadvantages of forming a joint venture?

One of the biggest disadvantages of a joint venture is that the structure offers no liability protection to the parties involved. This means a partner in a joint venture has a personal obligation for at least his portion of the company’s obligation, as explained by the Lawyers.com website.

What are the characteristics of a joint venture?

Here are some other common characteristics of joint ventures: Profits and expenses: Unless otherwise agreed to, joint venturers share profits and losses equally. Duration: Unless otherwise specified, a joint venture terminates upon the completion of the project or series of transactions.