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In this tutorial, the speaker discusses joint ventures and collaborations, highlighting their distinctions. Joint ventures involve two companies partnering to undertake a large project that one cannot manage alone, often in construction. This arrangement creates a separate entity, known as a joint venture company (JV Co), typically owned equally or nearly equally by the partners. In contrast, collaborations, also called contractual joint ventures, do not establish a new company. Instead, they rely on contracts outlining the terms of cooperation for a business relationship, commonly used when parties seek to work together without forming a separate entity.
