Creating and Managing Joint Ventures in China

by William Davidson



Joint ventures promise to be a critical vehicle for commercial interaction between the People's Republic of China and the rest of the world. Yet the joint venture format has proven to be an unstable and problematic form of organization in other settings. This article examines the experience of thirty U.S.-P.R.C. joint ventures. While a number of issues posed formidable challenges for all these firms, most have successfully dealt with the problems. The U.S. partners exhibited a surprising level of satisfaction with the performance of these ventures. Their experience provides useful insights for other firms contemplating or engaging in joint venture activities in China.

California Management Review

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Published at Berkeley Haas for more than sixty years, California Management Review seeks to share knowledge that challenges convention and shows a better way of doing business.

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