Joint ventures among telecommunications firms have become increasingly common in recent years. These joint ventures have occurred in almost all areas of telecommunications including information services, manufacturing, and mobile service. The firms involved in the collaboration have often been domestic U.S. corporations, such as AT&T and GTE, or international corporations, such as GPT (General ...

We investigate whether firms learn to manage interfirm alliances as experience accumulates. We use contract-specific experience measures in a data set of over 2000 joint ventures and licensing agreements, and value creation measures derived from the abnormal stock returns surrounding alliance announcements. Learning effects are identified from the effects of unobserved heterogeneity in alliance...

Executive Overview Joint ventures aid firms in accessing new markets, knowledge, capabilities, and other resources. Yet they can be challenging to manage, largely because they are owned by two or more parent companies. These companies may have competing or incongruent goals, differences in management style, and in the case of international business, additional complexities associated with diffe...

U.S. direct investment in Asia has almost doubled from 1990 to 1995. U.S. investment in China alone has increased sixfold during this period. Further, today about $1 in every $5 invested abroad by U.S. investors is invested in Asia (Department of Commerce, 1996). Obviously, Asia is more and more becoming an attractive target for U.S. investors. The predominant method for U.S. business to enter ...

The authors develop a model to examine systematically the relationship among motivation, control, and performance of joint ventures in China. Motivations are categorized into three dimensions: efficiency, competition, and learning. Motivations determine the level of control in joint ventures, and that level affects the joint venture's performance. The authors collected data from Japanese, Korea...

We develop a model in which cash-constrained entrepreneurs seek a venture capitalist (VC) to finance a new firm. Costly monitoring is employed by VCs to reduce entrepreneurial moral hazard. When monitoring reveals poor performance, VCs want to punish the entrepreneur with liquidation. However, when assets are specific and liquidation would lead to a loss, VCs choose to renegotiate the terms of ...

With the ongoing consolidation of the health care industry, including renal care, providers and physicians alike are using joint ventures as a means to partner on business transactions. This article discusses the expanding use of joint ventures in health care, including the dialysis industry, and looks at the types of structures being utilized and key legal concerns relating to such structures ...