The role of joint ventures in achievement international competition ability and a sectorial survey

ABSTRACT Growing effect of globalization on all areas has also affected the economic activities. Agreement process started with economic cooperation previously, has reached over custom unions and then Political Union in Europe. With this process, international economic activities has increased rapidly. Working order of companies abroad, depends on ancient years. But nowadays, in globalization frame, asset and capital activities in international markets has gain importance. There are sorts of ways for the companies that decided to enter foreign markets. Joint-venture is one of them. In general mean, joint-venture is cooperation of two or more companies. In this study, joint-venture as one of the ways of entering international market and the joint-venture investment in our country are examined. In the first section, reasons of steering companies towards foreign markets has identified. Then, foreign markets' entrance alternatives and the variables that affect companies during selection process are defined. In conclusion, risks of companies that are decided to enter foreign markets and some changes that can be seen on the ways of entrance are identified. In the second section, joint venture method, the expectation of environment and the success conditions are defined in detail. And then, partnership and legal structure of joint venture are examined. After examining joint venture types, advantages and disadvantages of joint venture in different point of views, criterias that help joint-venture to be defined as successful are emphasized. In the third section, foreign capital investments in Turkey are defined. Although current position about foreign capital is given, past events has also taken into consideration. The laws about foreign investments and the steps on setting a foreign capitalized company in Turkey has given briefly. In conclusion, with a general summary, problems of foreign investors in Turkey «HM'MâNTASYON MERKKZJand especially the expected actions to be taken in order to increase foreign capital investments are stressed and suggestions about these were given. Survey that is made on joint-venture companies in industrial sector and the evaluation of this study has taken place in the fourth section. VIII