JOINT VENTURES. Definition of a joint venture, what is a joint venture? A joint venture may be define: as a business where the provision of resources shared between two or more firms. In the international context, joint ventures with local partners are often used by multinationals.
Joint ventures may also be between two firms either public or private from different countries. In other words, these are ventures which are set up by government in collaboration with private firms.
reasons for setting up a joint venture
One of the major purposes of setting up a joint venture is to combine some of the advantages of government and private ownership and reduce the problems of complete government and private ownership. It also eliminates the inefficiency associated with public corporations. Government can participate in joint venture with private firms in various ways. Some of the ways include
reasons why government set up joint ventures
- Acquisition of part of the ownership of an already existing company.
- Government may provide a larger portion of capital required to set up a venture.
- Government may provide the basic infrastructure e.g. electricity, water and telephone services.
- Government may purchase a larger portion of the shares of the joint ventures.
Joint ventures are common in car assemblies, cement COMPONENTS OF THE NIGERIAN MINING INDUSTRY manufacturing, mineral exploration and production.
- unskilled labour
As a result of their low level of education, with some kind of training, they are usually employed as guards, messengers, cleaners, gardeners in companies and other places of employment.
- Skilled labour: This category of labour makes use of their mental effort in productive activities. Skilled labour has undergone a relatively long and specialized type of training in institutions of higher learning.
They usually hold administrative and managerial positions, e.g. accountants, lawyers, engineers, medical doctors and teachers. Jobs by this category of workers are popularly referred to as white collar jobs.