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Popular Joint Ventures That Work

November 8, 2016
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All around our economy, we find evidence of successful joint ventures. Look in the newspaper. Watch it on the news. Find it on billboards and advertisements. The most popular JV’s have exerted a large influence on our society, our economy, as well as technological developments.

In America, and in most advanced countries in the world where the government has great influence and regulation over mergers and acquisitions, companies find that joint ventures are a great way to join forces without the strict government oversight. Below are some of the examples of joint ventures and the results you see almost every day.

Sony and Ericsson’s Joint Venture

Japanese electronics giant, Sony, has been a leading manufacturer of consumer electronics, including audio, video, and communications, for decades. Along with their established manufacturing pervasiveness, Sony has had a global marketing dominance in all their products, including motion pictures and music recordings. With all their marketing expertise, they still needed an innovative technology expert to develop a marketing relationship.

Enter the Swedish technology expert, Ericsson. Ericsson specialized in developing innovative telecommunications equipment for mobile networks. In 2001, Sony and Ericsson teamed up in a 50-50 joint venture now known worldwide as Sony Ericsson to develop and establish their innovative brand as the most attractive and dominant in the mobile handset industry. Their successful joint venture has resulted in the development, production, and marketing of some of the best handheld mobile phones available today.

Verizon and Vodafone’s JV Endeavors

And continuing with the mobile communications industry, who hasn?t seen the nice guy asking, ?can you hear me now?? for Verizon Wireless? Verizon Communications was a leading deliverer of broadband and other wireless communications products. In 2000, they wanted to jump into the mobile wireless network provider industry and found a partner with European wireless behemoth, Vodafone.

Vodafone was the world?s leading international mobile communications group, providing wireless service to hundreds of millions of customers. They were able to tap into the North American market with a strategic joint venture with Verizon Communications. By combining Verizon?s cellular, PCS, and paging assets with Vodafone?s wireless communications technology and marketing, they have now become the nation?s ?most reliable? and largest wireless network.

Joint Venture Between Mazda and Ford

Ford Motor Company had an available parts casting center located in Flat Rock, Michigan. Mazda saw an opportunity to purchase and rebuild the plant to begin producing a line of automobiles. After Mazda had success with their MX-6 models and producing Ford?s own Probe model, Ford teamed up with Mazda to form a joint venture company, AutoAlliance International in 1992. Since then, they have produced some of the leading automobile models, including the Ford Cougar line, Ford Mustang, and the Mazda 6.

These are just a few examples of the most visible and popular joint ventures in North America and the world. Though these joint ventures are large in scale jumping into international business and marketing, even small business owners can learn from them. Combining capital, technology, and marketing savvy are just a few of the ways business owners and entrepreneurs can create joint ventures. Using creativity and experience in business, there is virtually no limit in how two or more companies can combine to form a joint venture.

Copyright (c) 2009 Christian Fea

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