A joint venture is a business arrangement in which two or more parties agree to pool their resources for the purpose of accomplishing a specific task. Joint ventures are characterized by shared ownership, shared returns and risks, and shared governance. Each participant in a joint venture is responsible for profits, losses, and costs associated with it, but the venture is its own entity, separate from the participants’ other business interests. Joint ventures can be structured as a separate business entity or simply grow out of a contract between the parties. Joint ventures can be beneficial for businesses looking to expand, develop new products or markets, or grow returns from existing ones. They can also help businesses enter new markets quickly and share the costs and risks associated with developing new markets or technologies. However, joint ventures are risky forms of business partnerships, and embarking on a joint venture requires relinquishing a degree of control. Some common reasons for ending a joint venture include the expiration of the agreed-upon time, legal or financial issues, evolving market conditions, or one party acquiring the other.