George Molakal discusses the various types of Joint Ventures at Singapore

Companies choose the type of JV models based on Global Customer Mapping

SINGAPORE, MUMBAI, LONDON, CHICAGO, ILLINOIS, UNITED STATES, October 24, 2018 /EINPresswire.com/ -- In a tête-à-tête at the Trade and Industry Association of Singapore, George Molakal the CEO of ALCOR discussed the various types of Joint Ventures to grow the companies globally. Joint Venture is a very powerful tool for any company to leverage the strength of another company. ALCOR M&A, the global leader in cross-border M&A transactions, works in 20 countries and has completed more than 300 cross-border M&A transactions with various types of JV models.
There are several types of Joint Ventures that are built to suit the requirements of a Joint Venture. However the most successful Joint Ventures are the performance-driven Joint Venture and some of the interesting models are,
• Green Field Switch Model
• Conditional Structure Joint Venture
• Minority Controlled Joint Venture
• Performance Joint Venture
• Low-Cost Market Entry Model Joint Venture
• Technology Joint Venture
• International Growth Value Joint Venture
• Restructuring Joint Venture
• Remote Resource Contract Joint Venture
George Molakal stressed that prior to doing a Joint Venture, "Every company must undergo a process known as Global Customer Mapping, which will identify potential customers, distributors, countries, profitability analysis, technology analysis to help decide which countries to get into a Joint Venture and which countries to get into distributorship to build global revenues." Companies who have used “Global Customer Mapping” as a tool, have increased their global revenues by 150% over three years.
The most common types of Joint Ventures are
Limited Function Joint-Ventures: This occurs when the party agrees to collaborate with another business in a limited way. If the party would want to launch new products by selling through a large company’s distribution network, the two businesses agree to set up a contract based on terms and conditions.
Separate Joint-Venture Business: This occurs when two different businesses form a third, separate new company (entity) to handle a particular contract. This type has many flexible options. Each partner owns shares of the company and agrees to manage among themselves in a systematic manner.
Full-scale Worldwide Mergers: These are international joint ventures on a large scale often involving international companies. The two businesses agree to create a new company with a particular product globally.
Integrated Joint-Ventures: These involve complex projects that divide two or more partners/parties that share profits and losses as well pool their resources in and employees according to their percentage of interest in the venture.
Non-integrated Joint-Ventures: This type of Joint-Venture is restricted, a form of non-partnership where each and every party is assigned a range of work and duties and is liable to profit loss, and resources in context to the work allotted. Members may experience obstacles related to internal conflicts.
Combination Joint-Ventures: It’s a combination of both integrated and non-integrated joint-venture used for more complex projects. Every party is assigned a portion of work/duty and responsible for own profits and losses, but members act as partners and may exchange and share their duties accordingly.
Equity Joint-Ventures: Two or more parties form another legal entity to carry out a project. The parties build venture capital and agree on resources like staff, profit sharing, machinery, etc.
Contractual Joint-Venture: In this type of Joint Venture, two or more parties form a partnership to achieve a short-term construction project.

James Poddar, a Business Analyst with ALCOR M&A, works with companies who want to grow their exports to 60 plus countries using the Unique Global Customer Mapping Model - http://www.alcormna.com/global-customer-mapping.

ALCOR MNA is a global Merger and Acquisitions Investment Bank with operations in 20 countries worldwide, completed more than 300 transactions, assisting companies to expand to 60 countries globally. www.alcormna.com

James Poddar
ALCOR Capital Inc
+1 773 839 5591
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