Well-known joint ventures include General Motor Co.'s collaboration with automobile companies in Egypt, Uzbekistan, Italy and China; and Hulu, which was formed by three mass media corporations. Joint venture is a business practice through which two or more parties form a strategic alliance to share their intellectual property and knowledge.
An alliance can occur between small businesses as well as between big players in any industry.
General Motors Co. has initiated a joint venture with companies in foreign countries, including Al-Mansour Automotive in Egypt, Uzbek in Uzbekistan, VM Motori in Italy and others. However, GM's venture into the Chinese market is one of the most recognizable in the automotive industry. In 1997, GM formed Shanghai GM and has forged several joint ventures with local producers to sell its vehicles under brands such as Baojun, Jiefang and Chevrolet.
Another example of joint venture is a cooperation among News Corporation, Disney and NBC Universal, which together formed Hulu, an online video streaming site. These giants in the industry cooperate and combine their programs instead of competing with each other.
A cooperation between Japanese conglomerate Sony and Shanghai Oriental Pearl Group is another example. China had banned game consoles from 2000 until January 2014, which caused companies such as Sony difficulty in penetrating the Chinese market. The joint venture with the Chinese company helps to market Sony’s PlayStation products in the country.