Journal of Contemporary Issues in Business and Government

Abstract

The ongoing growth of the infrastructure development and construction industry in Pakistan in
recent years has attracted foreign investors and firms to undertake Joint Ventures (JVs) in this
emerging market, especially in the context of CPEC. The IJV paradigm is however quite
complex and it is a general perception that usually the performance of JVs remains below the
desired expectations. International construction businesses usually embody grave social,
economic, and political implications in developing countries like Pakistan, where the problems
of IJVs become more accentuated due to a host of other external as well as internal factors.
Besides being an emerging trend, very few studies are available with regards to IJVs
performance in Pakistan.
This research is hence aimed at (1) Exploring the impact of Environment, Project and Partner's
Risks on IJVs performance (2) Develop a matrix for explaining the impact of risk factors and
mediating role of Effective Management Control in IJV paradigm (3) To test the postulated
hypothesis through quantitative methods. For this, a questionnaire-based survey has been
conducted in which the feedback and perceptions from local and foreign firms and professionals
have been recorded and analyzed using SPSS software. The study finds out that there are
negative effects of Risks on IJV performance however, with Effective Management Control, the
impact of risks are mitigated.