Joint Ventures (JV)
A Joint Venture is a company invested and set up by cooperation between a foreign and a Chinese company. The appealing part of a joint venture is that it uses the advantages of local enterprises; a potential high market share, low labor costs and low production costs. The participants create a new business entity (or official contractual relationship) in which they share profits and losses, investments, responsibilities and operation operating costs. The foreign partner is required, according to the equity joint venture law, to contribute at least 25 percent of the complete registered capital. In some cases, if the government still controls a certain business, a joint venture is the only form to be active in China.
JV Step by Step
Joint Venture for:
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