What is a State Owned Joint Venture? What are Joint Ventures and Associates

A state-owned joint venture refers to two or more enterprise legal persons or public institution legal persons of the same or different ownership nature, and economic organizations formed by joint investment in accordance with the principles of voluntariness, equality, and mutual benefit are called joint ventures.

Joint ventures include state-owned joint ventures, collective joint ventures, state-owned and collective joint ventures and other joint ventures.

Classification of Associates:

Joint ventures are divided into close joint ventures, semi-compact joint ventures, and loose joint ventures.

1.A close joint venture is an economic entity in which all parties participating in the joint venture invest in capital, property, technology, etc., jointly operate, and bear limited liability within the limit of their investment, forming an economic entity that operates independently, accounts independently, bears its own profits and losses, and can independently bear civil liability. After the approval and registration of the competent registration authority, the "Business License of Enterprise Legal Person" shall be issued to obtain the legal person qualification.

2.Semi-compact joint venture means that the parties to the joint venture are jointly and severally liable for the property owned or managed by themselves in accordance with the provisions of the contract or agreement. This type of association is a partnership between legal persons, which does not form an economic entity and cannot independently bear civil liability.

The main registration authority will issue a "Business License" indicating the validity period.

3.Loose joint venture means that the parties to the joint venture establish a relatively stable cooperative relationship within a certain period of time according to the contract or agreement, operate independently and bear civil liability independently, and its rights and obligations are stipulated in the contract. Since there is no joint contribution by the parties to the joint venture and no new economic entity is formed, the registration authority does not register.

A state-owned joint venture is an enterprise jointly funded and established by the state and two or more legal persons, jointly controlled by the state, and jointly elected by the state (the shareholder with the largest number of shares has the main right to recommend) the management of the enterprise.

A joint venture, an enterprise that implements the same control over the investee with other joint venture parties. Associates, enterprises that have a significant influence on the investee. The investor has significant influence over the joint venture, that is, it only has the right to participate in the decision-making and financial decision-making of the invested enterprise, but does not have the right to control it.

The joint venture has control, rather than significant influence, over the operational and financial decisions of the investment enterprise, and this control is joint control. There are different types of investors to participate in decision-making between the two, and investors have the right to participate in decision-making and financial decision-making of the joint venture, but do not have control over it; Investors have joint control over the joint venture's operational and financial decisions. There are differences in the classification of the two:

According to the form of joint venture, there are two types of joint ventures: joint ventures and cooperative ventures. Joint ventures are divided into close joint ventures, semi-close joint ventures and loose joint venturesHow to look at the ??? of these two kinds of enterprises

1. The concept of the two kinds of enterprises is different, and a joint venture refers to an enterprise invested and established by two or more national enterprise companies or other economic organizations; A joint venture is an enterprise in which the investor has significant influence, but is not a subsidiary or joint venture of the investor.

2. The shareholding ratio of the two types of enterprises is different, and the shareholding ratio of the joint venture is generally that one enterprise or individual owns 20% to 50% of the voting rights of the other enterprise, and it is generally considered that the investor has a significant influence on the complained enterprise; A joint venture is a joint control over an economic activity in accordance with a contract, and refers to an enterprise established by two or more enterprises or individuals jointly invested.

3. The investor rights of the two types of enterprises are different, the investor only has a significant influence on the joint venture, that is, he only has the right to participate in the decision-making and financial decision-making of the invested enterprise, while the joint venture has control over the operational and financial decision-making of the invested enterprise.

4. The control methods adopted by the two types of enterprises are different, and the associated enterprises are generally involved in the control level, which is divided into subsidiaries and parent companies; A joint venture is jointly controlled, and the joint venture has joint control over the decision-making and financial decisions of the investment enterprise.

5. The classification of the two kinds of enterprises is different, and the joint venture is in accordance with the joint venture method, there are two kinds of joint ventures and cooperative enterprises, and the joint ventures are divided into close joint ventures, semi-close joint ventures and loose joint ventures.

To sum up: the joint venture can directly control the investee, while the joint venture has significant influence on the investee; All parties of a joint venture participate in the production and operation decisions of the investee, while an associated enterprise generally cannot participate in the production and operation decisions of the investee.

Legal basis: Article 7 of the Company Law of the People's Republic of China stipulates that a company established in accordance with the law shall be issued a business license by the company registration authority. The date of issuance of the company's business license is the date of incorporation of the company.

The company's business license shall indicate the company's name, domicile, registered capital, business scope, name of legal representative, and other matters. If there is a change in the items recorded in the company's business license, the company shall go through the change registration in accordance with the law, and the company registration authority shall renew the business license.

As follows:

1. Different control methods: the joint venture can directly control the investee, while the joint venture has a significant impact on the invested unit.

2. The decision-making is different: all parties of the joint venture participate in the production and operation decision-making of the investee, while the joint venture cannot participate in the production and operation decision-making of the investee under the general situation.

Affiliate Introduction:

It refers to an economic organization formed by two or more enterprise legal persons or public institution legal persons of the same or different ownership nature in accordance with the principles of voluntariness, equality and mutual benefit

There are many specific forms of joint ventures, which can develop horizontally or vertically according to the nature of ownership, region, and industry of the enterprise. Associated enterprises generally form associates that are called externally. Joint ventures enjoy certain preferential treatment according to the amount of investment.

The realized profits are distributed to each investment unit in a certain proportion. The formation of joint ventures is an objective requirement for technological progress and the development of socialized production, and it has great advantages.

The above content reference: Encyclopedia - Associates.

Encyclopedia - Joint venture.

There are two differences between an associate and a joint venture:

1. Proportion of shares.

1. Associates.

When an enterprise or individual owns 20% or more to 50% of the voting capital of another enterprise, the investor is generally considered to have significant influence over the investee enterprise.

2. Joint ventures.

Contractual control over an economic activity refers to an enterprise established by two or more enterprises or individuals jointly invested. The proportion of capital contribution shall be in accordance with the contract.

Second, the control method.

1. Associates are generally involved in the control level, which is divided into parent companies and subsidiaries.

2. A joint venture is jointly controlled, and the joint venture has joint control over the business and financial decisions of the invested enterprise.

Expand Huaikong Data:

Conditions for opening a joint venture:

1. The application for the establishment of a joint venture in China shall focus on economic benefits and shall be approved only if one or more of the following requirements are met:

1. The use of advanced technology equipment and scientific and technological management methods can increase product variety, improve product quality and output, and save energy and materials.

2. It is conducive to the technological transformation of enterprises, and can achieve less investment, quick results and large returns.

3. It can expand product exports and increase foreign exchange income.

4. Able to train technical personnel and management personnel.

2. The application for the establishment of a joint venture shall not be approved under any of the following circumstances:

1. Detrimental to national sovereignty.

2. Violation of national laws.

3. It does not meet the requirements of China's national economic development.

4. Causing environmental pollution.

5. The signed agreement, contract or articles of association are obviously unfair and damage the rights and interests of one of the parties to the joint venture.

Summary. Hello dear, both associated enterprises and state-owned enterprises are good, because both associated enterprises and state-owned enterprises have their advantages and disadvantages, depending on the specific situation. An associate is a cooperative enterprise formed by two or more companies that jointly own and manage the business.

Since associates are usually made up of private and foreign enterprises, associates are usually more market-oriented, focusing on efficiency and flexibility. Associates can often make decisions quickly because they can solve problems in a way that makes decisions together. In addition, associates can also share resources and risks, which can help improve the productivity of the business and reduce investment risks.

What are the differences between associates and state-owned enterprises?

Hello, joint ventures and state-owned enterprises are good, because both associated enterprises and state-owned enterprises have their advantages and disadvantages, depending on the specific situation. An associate is a cooperative enterprise formed by two or more companies that jointly own and manage the business. Since joint ventures are usually made up of private and foreign companies, they are usually more market-oriented, with a focus on efficiency and flexibility.

Associates can often make decisions quickly because they can solve problems in a way that makes decisions together. In addition, the joint venture can also share resources and risks, which can help improve the productivity of the enterprise and reduce investment risks.

Hello, state-owned enterprises are enterprises directly managed and controlled by **. SOEs usually focus more on public welfare and long-term interests rather than short-term interests. State-owned enterprises (SOEs) can usually obtain the best support and macro protection, so that they have an advantage in market competition.

In addition, SOEs can also play an important role in certain strategic areas, such as defense, energy, and infrastructure.

Hello, the differences are as follows, Nature of affiliation: state-owned enterprises are state-funded or state-owned assets controlled enterprises, while joint ventures are enterprises independently funded by two or more legal persons. Business Scope:

State-owned enterprises are usually enterprises that play an important role in the country's key industries, such as electric power, communications, petroleum and other fields, while joint ventures can be regretted Capital structure: The capital of state-owned enterprises is mainly composed of state investment, and the capital of joint ventures comes from the independent investment of various partners. Management Method:

The management of state-owned enterprises is usually under the direct control of **, while the management of joint ventures is jointly managed by various investors. Business objectives: The business objectives of state-owned enterprises are usually to serve the national strategic needs and the national economy and people's livelihood, while the business objectives of joint ventures are to pursue return on investment and enterprise development.

Business model: SOEs usually adopt a vertically integrated business model, while joint ventures usually adopt a horizontal joint business model.

In China, enterprises that have a significant influence on the investee, that is, joint ventures. A joint venture enterprise is an enterprise that exercises joint control over the investee together with other joint venture parties, i.e., a joint venture. According to the relevant laws and regulations, the establishment of enterprises needs to be registered.

Article 2 of the Partnership Enterprise Law The term "partnership enterprise" as used in this Law refers to the general partnership and limited partnership established by natural persons, legal persons and other organizations within the territory of China in accordance with this Law. A general partnership is formed by general partners, who are jointly and severally liable for the debts of the partnership. Where this Law has special provisions on the form of liability of the general partner, follow those provisions.

The limited partnership is composed of general partners and limited partners, and the partners of Puyun are jointly and severally liable for the debts of the partnership, and the limited partners are liable for the debts of the partnership to the extent of their subscribed capital contributions.