lpha Corporation is interested in expanding its operations to South Africa. Alpha finds a South African company that is in a similar industry and partners with it to do business. Alpha owns part of the operation and the South African company owns most of it. The two share in profits and liabilities in proportion to their ownership. This is most likely: a. a license. b. a subsidiary. c. a foreign manufacturing plant. d. a joint venture.

Question

Business

Amari Owens

9 July, 19:11

lpha Corporation is interested in expanding its operations to South Africa. Alpha finds a South African company that is in a similar industry and partners with it to do business. Alpha owns part of the operation and the South African company owns most of it. The two share in profits and liabilities in proportion to their ownership. This is most likely: a. a license. b. a subsidiary. c. a foreign manufacturing plant. d. a joint venture.

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Answers (1)

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Lorelei Moran · Answer 1

d. a joint venture

Explanation:

A joint venture -

It refers to the method, where two or more companies or business agrees to combine their resources in order to attain a specific project all together, is referred to as a joint venture.

The project can some previous existing project or any new project.

The profit and loss from the combined business is distributed equally with all the members.

Hence, from the given scenario of the question,

The correct answer is d. a joint venture.