Managing International Alliances: Joint Ventures: A Case Study

Abstract

Companies tend to internationalize for many reasons and use various methods. Joint Ventures (JVs) are one of the most common methods to establish partnerships. Partnership enterprises benefit from the market experience of their foreign partners, transferring technology and information, resources and talent pool, and exceeding legal limitations. Although JVs provide economic benefits for companies, they face significant challenges. The aim of the study is to reveal the reasons of the companies to make strategic alliances in the international arena such as joint venture and other formations and the managerial challenges they face with a case study. This paper examines ASELSAN, which is one of the most important institutions of Defense Sector in Turkey. It analyzes the reasons of being a participant of JVs and the way of internationalization. An evaluation was made in line with the answers received from the management levels. ASELSAN's internationalization and the reasons for its participation in foreign countries coincide. However, the reason for internationalization is "increasing the international brand value of Turkey." In addition to the similarities to those provided in the literature, ASELSAN has its own unique methods in terms of the challenges and difficulties encountered in the implementation of overseas plans, control and coordination problems.

Legal Issues in Corporate Partnerships and Joint Ventures

“…Strategic structuring of partnership and joint venture agreements is instrumental in achieving favorable tax outcomes. This involves considerations such as selecting an appropriate legal form for the collaboration, defining profit-sharing mechanisms, and aligning financial structures with tax regulations (Bingöl Dursun and Begeç Suat, 2020).…”