INTERNATIONAL JOINT VENTURES: THEORETICAL NOTES ABOUT THE INFLUENCE OF THE DEVELOPMENT STAGE OF THE COUNTRIES

Abstract

This is a theoretical essay about the influence of countries` development stage on the formation of international joint ventures. The central argument is that the development stage of the countries shapes the process of strategic alliances formation (child; rodrigues, 2000; hyder, 1999; beamish; banks, 1987; lane; beamish, 1990). This occur because differences in the development stage of countries` parents produce differences in both  interest and objectives` partners. Moreover, this difference became the negotiation more complex as a consequence of different business system (whitley, 1992). It is argued that the development stage tends to influence the level of complexity of the joint venture process formation. This difference produce too asymmetries on power relations, whose that are regulated by control of tangibles and intangibles assets, as well by the knowledge of institutional context where the joint venture is hosted. The article presents concepts of international joint ventures, some general considerations about the formation of this kind of arrangements in development countries, the central motives to form joint venture by local and foreigner partner partners, and final considerations.