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Differences between developed and developing country joint ventures -- a reality or a myth?

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  • Hyder, Akmal S.

Abstract

In the literature on joint venture (JV), it has been argued that there are differences between developed and developing country JVs. The location of a JV decides whether it belongs to a developed or a developing country. The purpose of this study is to identify the differences that exist between developed and developing country JVs and also to investigate why and how such differences arise while operating. Depending on the nature of the research questions, an in-depth study of four JVs, two of which belong to each category, has been carried out. In all the JVs studied, a Swedish multinational is involved as the only foreign partner. The results show that there are substantial differences between developed and developing country JVs in relation to goals, degree of conflict, patterns and mechanisms in exercising control, and finally, performance measurement criteria. The study makes a worthwhile contribution to the JV literature and also provides some important implications to the managers engaged in both JV categories.

Suggested Citation

  • Hyder, Akmal S., 1999. "Differences between developed and developing country joint ventures -- a reality or a myth?," International Business Review, Elsevier, vol. 8(4), pages 441-461, August.
    • Handle: RePEc:eee:iburev:v:8:y:1999:i:4:p:441-461
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    References listed on IDEAS

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    1. Madhok, Anoop, 1995. "Opportunism and trust in joint venture relationships: an exploratory study and a model," Scandinavian Journal of Management, Elsevier, vol. 11(1), pages 57-74, March.
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