If considering a joint venture, first think about various benefits and obstacles you'll find in your market, according to Diagnostic Imaging.
Here are five insights:
1. A major JV advantage is the ability to collaborate with other business partners to make decisions, and the entry into related businesses that previously had high barriers to entry.
2. Within a JV, you will share the financial responsibility with the other entity, sharing the risks and costs.
3. A partnership like a JV allows each partner to grasp resources they didn't previously possess.
4. Aligning cultures, management styles and incentives will prove as obstacles to creating a successful JV, however.
5. Disparities in commitment to project goals by either partner as well as poor tactical decisions by either party will harm the JV end goal.