International Joint Ventures: Implications for Organisation Development

Amidst the diverse forms of international direct investment, the international joint venture (IJV) appears to have become the fastest growing, most popular type of operation. An IJV may be defined as “a separate legal organizational entity representing the partial holdings of two or more parent firms, in which the headquarters of at least one parent firm is located outside the country of operation of the joint venture. This entity is subject to the joint control of its parent firms, each of which is economically and legally independent of the other”.