9.6k views
0 votes
A new corporation created by two partnering organizations remains independent.

a. Acquisition
b. Merger
c. Joint venture
d. Alliance

User MariusR
by
8.6k points

1 Answer

1 vote

Final answer:

A new corporation created by two partnering organizations that remains independent is known as a Joint venture. Unlike mergers and acquisitions, a joint venture is a separate entity formed for a specific project or business activity.

Step-by-step explanation:

Given that a new corporation created by two partnering organizations remains independent, the correct answer is c. Joint venture. Unlike an acquisition, where one firm purchases another, or a merger, where two firms combine to form a single entity, a joint venture is a business arrangement where two or more parties agree to pool their resources for the purpose of accomplishing a specific task.

This task is usually a project or a business activity. In a joint venture, each of the participants is responsible for profits, losses, and costs associated with it. However, the venture is its own entity, separate from the participants' other business interests.

User Petehare
by
8.2k points
Welcome to QAmmunity.org, where you can ask questions and receive answers from other members of our community.