Types of Joint Ventures - PDF

MANAGING A
SUCCESSFUL BUSINESS
PROJECT

Table of Contents
INTRODUCTION...........................................................................................................................1
Background of the study ............................................................................................................1
Rationale.....................................................................................................................................1
AIMS & OBJECTIVES...................................................................................................................2
PROJECT MANAGEMENT PLAN...............................................................................................2
TIME SCALE..................................................................................................................................3
REFERENCES................................................................................................................................5

INTRODUCTION
Joint venture is the type of business where arrangement is agreed between two or more
parties in order to develop the best type of resources and specific task. This is the business which
usually offers great benefits. With this business, there are also certain risk which is generally a
sort of highly complex. Therefore, in this report researcher has selected topic to identify risk and
benefits which is associate with the business of joint venture (Sadgrove, 2016). Firstly, in this
report aim and objectives will be discussed. Study will also include the detailed information
about the different methodology used by scholar for accomplishing desired aims and objectives.
1. Brief
Background of the study
A joint venture is the type of business which helps business to grow faster which also
increase productivity and generate higher amount of profits. In this report, research study is
developed with the case study of Tesco organisation, who wants to set its business across the
world and mostly it has launched joint venture business in Japan (Burns, 2016). Therefore,
globalisation is the factor which benefited all the companies in order to expand their business
globally. There are different types of joint ventures these are limited corporations, such types of
Joint venture are formed when companies form agree to collaborate with other firm in specific
manner. The other form of joint venture is separate joint venture business, it involves basically
establishing new organisation for handling a specific contract. There is high risk of conflict in
context of Joint venture business. The major benefit of Joint venture business is that it assist firm
in increasing productivity. It also provides organisation an ease in accessing to new market.
Rationale
This research paper has been developed with the proper guidance of tutor where research
has been conducted on the risk and benefits which associate with the joint venture business for
expanding business internationally. The topic has been selected in order to develop better
understanding the globalisation with respect to business of joint venture internationally. This
research will help in eliminating gap to write literature and will also help in improving academic
career (Yan and Luo, 2016). Further, through this research paper better understanding and
knowledge for conducting joint venture business globally will get developed.
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Thus, in this work research will provide significant help to another researcher which are
conducting analysis on same line of the topic. This will help in saving extra time and to conduct
research which is more efficient to understand. Hence, rationale has been chosen to examine the
risk and benefits of joint venture business for expanding business internationally.
2. AIMS & OBJECTIVES
Aim:
“To determine the customers perceptions about the way company should enter into
international market. A study on Tesco”.
Objectives:
 To develop the understanding about customer perception.
 To analyse the different modes of entry through which organization can enter into global
market.
 To identify the approach which an organization can adopt foe centring into international
market.
 To suggest an alternative way Tesco can change the perceptions of customers in
international market.
Research Questions:
 What is the concept of customer perceptions ?
 What are the different mode of entry through which organization can enter into global
market ?
 What is the main approach that can be utilized by Tesco for entering into international
market ?
 What are the alternative ways through which Tesco can change the perceptions of
customers in global market ?
3. Scope and limitation of the project
Scope : It is basically an essential part of project planning which includes determination as well
as documentation of specific project goals and deliverables. The scope of the project also
highlights the different tasks. Cost and deadline. In context of present study, the present study
have limited scope, as research will be conducted within a Tewsco. It will be executed for
specific period. The investigation has been executed for analysing the risk and benefits
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associated with joint venture business. After completion of the research , scholar will able to
address the major risk as well as benefits associated with Joint venture business.
Limitations : There are two types of limitation that is lack of time and insufficient resources due
to which scholar has failed to conduct in depth investigation on the topic. In context of present
investigations, researcher in order to deal with the issuer of time limitation has developed the
time management strategy as well as has prepared schedule. Investigator has executed different
activities during the time of investigation according to the set priorities. In addition to this,
researcher bin order to deal with resource limitation has use an Enterprise resource planning
system for planning as well as allocating the resources. Enterprise resource planning system has
supported scholar in ensuring an effective allocation of resources, it has also assisted them in
identifying the task which consumes most of the resources.
4 . PROJECT MANAGEMENT PLAN
Project management plan is known as formal or approved document which define
execution of project, its monitoring and control. It is the type of detailed summary where factors
like baseline, subsidiary management plan and other document of planning included (The
Project Management Plan, 2019). Thus, description of its element are as follows-
Cost – It is basically an expenditure associated with the execution of research as well as
formulation and implementation of strategy. Huge amount of money is required to be spend on
collection of data related to topic. In context of Joint venture business, the expenses are
associated with financing Joint venture business, making a business plan, purchasing of
resources, market research etc. In addition to this, the expenditure are also associated with
making the communication arrangement etc. in order to conduct authentic research, researcher
must have to develop planning of budget which will be required for conducting efficient study.
Thus, in order to carry out all the activities of present research work and to reach aims and
objectives £5000 is required. The detailed information about the cost involved in the execution
of research as well as joint venture strategy :-
unit/ hrs Costs/ unit/ hrs WBS Level 1 total
Salary or wages
of £1250
£160
£630 £7829
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Project manager
team members
£2000 £13 7000
Purchase of
Handheld devices
Servers
£150
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£790
£3400
£ 800
£19000
Installation and
updation of
Licensed software
180 £370 £30700
Testing of
hardware and
software
£6100
Equipment for the
project
£3200
Internet 2100£
Quality- research will only considered effective when there is material which has its own
value. Thus, in order to reach aims and objectives, scholar must have to provide valuable source
which have authenticity and reliability.
Resources- researcher must have to provide resources on which scholars will able to
relay and present study in more brief manner. Therefore, resources like notepad, laptop, storage
device is the necessary element which has to be used. In context of establishing Joint venture
business, the different types of resources which are required include capital, human resources,
communication devices, Technology, strong distribution network, partners, etc., In addition to
this, the resources which are required for conducting the research includes funds, manpower,
stationery, communication devices, knowledge about research method or techniques , technology
and other equipments.
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5. Gantt chart and Work breakdown structure
TIME SCALE
Activities 1th
Wee
k
2nd
Wee
k
3rd
Week
4th
Wee
k
5th
Week
6th
Week
7th
Week
8th
Week
9th
Week
10th
Week
Research
topic
Literature
Review
Designing of
research
methodology
Design
question of
research
Carry out
Research
activities
Data
Analysis and
its graphic
design
Conclusion
and
recommenda
tion
Final Report
Editing &
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Completion
6. Risk register
Risk is basically a situation involving exposure to danger. The different types of risk
involved in the investigation on specific topic include chances of ethical or legal issues. If the
data is collected from the secondary sources than there is high risk of plagiarism. In addition to
this, there is high risk to security as well as threat to job or life of respondent. If in case, the
information is not stored properly or using appropriate, then the major risk is associated with the
unauthorised access of information which can give rise to ethical or legal issues. In context of
the implementing the plan of Joint venture business, the different types of risk associated with
the same are :
Types of risk Possibility of
occurrence
Impact Mitigation strategy
Technological failure High High A special technical
team will be formed
for dealing with such
type of issue.
Financial risks High High Budgeting is the
technique which will
be used for the
controlling the flow of
cash in context of
implementation of
Joint venture strategy.
In addition to this,.
Proper agreement will
be made by other
company in order to
avoid such type of
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risk.
Political risk Low High Proper regulation will
be followed by
company in order to
avoid such risk.
In addition to this,
flexible joint venture
plan will be developed
,, so that changes can
be made considering
situation.
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REFERENCES
Books and Journals
Burns, P., 2016. Entrepreneurship and small business. Palgrave Macmillan Limited.
Sadgrove, K., 2016. The complete guide to business risk management. Routledge.
Yan, A. and Luo, Y., 2016. International Joint Ventures: Theory and Practice: Theory and
Practice. Routledge.
Online
The Project Management Plan. 2019. [Online]. Available through
<https://2020projectmanagement.com/index.cfm?topNav=resources&subNav=project-
documentation&subsubNav=the-project-management-plan-pmp>
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