PARTNER CONTRIBUTIONS AS PREDICTORS OF EQUITY SHARE IN INTERNATIONAL JOINT VENTURES

The type of expertise that a company contributes to a joint venture may affect the amount of equity that it owns. This research observes the ownership patterns associated with four common combinations of partner expertise in international joint ventures. The results rank company assets with respect to the contributor's ability to negotiate majority ownership in the original joint venture contract and that company's tendency to buy up equity from the partner later on. © 1991, Academy of International Business.