Factors affecting choice of international joint venture as a foreign market entry strategy in mining and refining industries exemplified by British Petroleum in Russia

This paper combines three aspects: 1) mining and refining industries, 2) joint ventures as a market entry mode, 3) and factors that affect industrial companies’ decision to enter foreign markets in a form of joint ventures. All three aspects are studied by the example of transnational company British Petroleum’s entry to Russian market in a cooperation with Russian company TNK. Key questions are: what factors are universal for all entry modes? What factors are relevant for joint venture mode? What factors make an affect in mining and refining industry, based on the case study? The final goal of the study is to provide decision-makers involved in consideration of joint venture as a market entry mode to a foreign mining and refining industry with a list of factors that positively affect this decision (based on TNK-BP case).