The two associates had come together because both had understood they could place complementary capabilities into play. NTT DoCoMo could assemble on TTSL's knowledge of the neighborhood market and the ownership of telecom licence (given by the federal administration only to the domestic firms).) TTSL could attain access to the NTT DoCoMo's core capability in the 3G technology, which was shortly being rolled out in India through spectrum auction.
NTT DoCoMo - Joint Venture with Tata in Indian Mobile Telecom Case Study Solution
As part of signing the deal, the two associates needed to cope with problems apart from company synergies - like the portion of equity holding of each partner in the JV, the price at which NTT DoCoMo would purchase its position to be offloaded by TTSL and the provision for veto rights that could make up for a minority holding. The case study helps pupils understand the dynamics of the formation of an international JV. It also emphasizes the exceptional advantages of a JV over other forms of international collaboration, such as technology licensing and agency distribution.
PUBLICATION DATE: January 10, 2011 PRODUCT #: W10004-PDF-ENG
This is just an excerpt. This case is about GLOBAL BUSINESS