Which of the Following Is a Difference Between a Joint

Multiple Choice

Which of the following is a difference between a joint venture and contract manufacturing?

A) A joint venture is formed when a domestic firm buys part of a foreign company to create a new entity,while firms choose contract manufacturing to avoid being involved in licensing.
B) A joint venture is formed when a domestic firm broadens its global marketing base without investment,while in contract manufacturing; a licensor allows another firm to use its manufacturing process.
C) A joint venture is formed when several countries agree to work together to form a common trade area,while contract manufacturing occurs when government efforts stifle investment by foreign corporations.
D) A joint venture is formed when an agreement to stimulate international trade is made,while contract manufacturing occurs when a tax is levied on the goods entering a country.