joint venture

/dʒɔɪnt ˈven.tʃər/

Meaning

A joint venture is a business arrangement in which two or more parties agree to pool their resources for the purpose of accomplishing a specific task or project. Each participant is responsible for profits, losses, and costs associated with it. It is a standard, neutral term used in strategic business planning.

Examples

  • The two automotive giants formed a joint venture to develop electric vehicles.

    The two automotive giants formed a joint venture to develop electric vehicles.

  • Our joint venture in Japan has allowed us to access a notoriously difficult market.

    Our joint venture in Japan has allowed us to access a notoriously difficult market.

  • They entered into a joint venture to build the new high-speed rail network.

    They entered into a joint venture to build the new high-speed rail network.

  • The joint venture was dissolved after the partners disagreed on the long-term strategy.

    The joint venture was dissolved after the partners disagreed on the long-term strategy.

  • Both companies split the profits from the joint venture fifty-fifty.

    Both companies split the profits from the joint venture fifty-fifty.

Common Mistakes

  • ✗ We agreed to make a joint venture with our main competitor.

    ✓ We agreed to form a joint venture with our main competitor.

    The verbs 'form', 'start', 'enter into', or 'establish' are used with 'joint venture', not 'make'.

  • ✗ They are working on a jointed venture to design the software.

    ✓ They are working on a joint venture to design the software.

    The adjective modifier is 'joint' (acting together), not the past participle 'jointed' (which refers to physical joints).

Related Expressions

strategic alliance partnershipconsortium

Practice

  • To share the high costs of research, the pharmaceutical companies established a ___.

    💡 A collaborative business project between separate companies

    Show answer

    joint venture

  • The international ___ failed because of cultural differences between the two management teams.

    💡 A shared commercial enterprise

    Show answer

    joint venture