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What types of joint ventures (JVs) are available for foreign firms and investors in India, and what are potential advantages of such arrangements?

Q&A

Entering into a joint venture (JV) with a local company can provide benefits such as brand exposure for foreign firms in the Indian market while avoiding the risks associated with establishing local branches or subsidiaries. Licensing JVs entail an Indian partner producing and marketing a specific product on behalf of their foreign partner, while franchising JVs allow the local partner to make full use of the foreign firm’s brand name and product line. However in each instance the foreign investor relinquishes some control over their brand image in the country.



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