International joint venture (IJV) is one of the strategic
alternatives in this rigorly competitive global environment.
IJVs enable Taiwanese firms to bring in foreign expertise, such
as capital, technology and know-how, and upgrade their
operating competence. Four constructs of international joint
ventures, the motives for IJV formation,partner''''s
contributions, management mechanism including ownership
structure and management control, and performance of IJVS, are
discussed. From the view of IJVs'''' parents, the study regards
the IJV as a system, motives and partner''''s contributions being
input,management mechanism being process,and performane being
output. A framework is proposed to clarify the relation between
these constructs. The results show that IJVs are significant to
the parents; the types of parents'''' motivations and partner''''s
contributions have effects on management mechanism; ownership
and management control are positive related. The contributions
of this study are the following: Theorectically, building up a
framework of IJV operation and finding the relationship between
motivation, partner''''s contributions and management mechanism;
empirically, testing the framework and offering suggestions to
Taiwanes firm engaging in IJVs. The more understandings of the
basis of IJV formation, the deeper insights of IJV implications.