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International Joint Ventures fail due multiple factors some of them are I) Selection of wrong partners, II) Cultural differences, II) Poor / Unclear leadership (who will control the operations of the project), III) Conflict over management style and carport culture, IV) Lack of comprehensive planning, V) Insufficient resources (usually capital), VI) Deficiency of commitment and trust between the parties, VII) Over estimation of revenues/profits (in respect of time and quantity)
International marketing 3rd GDB
Finance arrangements are not done between the parties.
Specific obligations are not be set
Appointment of directors is not properly with the permission of parties
Conduct of the affairs of the JV Company (Notice, Agenda, General Meetings, Circular Resolutions, Accounting and audit)
Transfer pricing and buy/sell agreements
Distribution / Dividend Policy
Name/ Brand licensing agreement
Period of agreement are not specified by the parties.