2013
DOI: 10.2139/ssrn.2307706
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The Control and Performance of Joint Ventures

Abstract: We analyze the control and performance of assets operating in joint ventures (JVs). Control in JVs is determined by the allocation of voting rights and by the contracts that govern the JVs. This hybrid allocation of control seeks to reduce the potential for ex post opportunism. The results suggest that contractual provisions encourage collaboration and improve JV performance when one of the partners accepts a minority position on the board. The analysis also reveals that with the exception of JVs with contract… Show more

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Cited by 1 publication
(3 citation statements)
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“…Other aspects that affect the studied relationships pointed out in the field's literature are control related issues, that is, how power relations are established within partnership and how this power struggle affects IJVs' performance (Mantecon, Song, & Luo, 2016;Shah, 2015).…”
Section: Internal Dimensionmentioning
confidence: 99%
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“…Other aspects that affect the studied relationships pointed out in the field's literature are control related issues, that is, how power relations are established within partnership and how this power struggle affects IJVs' performance (Mantecon, Song, & Luo, 2016;Shah, 2015).…”
Section: Internal Dimensionmentioning
confidence: 99%
“…Other studies focus the influence each partner has on the IJV's decisions and how this impacts on performance (Ali & Khalid, 2017;Ding, 1997;Mantecon et al, 2016). Ding (1997) shows that when a foreign partner controls the business's strategic decisions, the IJV has better performance.…”
Section: Internal Dimensionmentioning
confidence: 99%
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