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52-513: The Sharan was the Volkswagen-badged product from a joint venture between Volkswagen and Ford Motor Company to produce vehicles in the increasingly important MPV market, which was filled at the time by Renault 's Espace and Chrysler 's Voyager . The resulting Volkswagen Sharan concept (and Ford Galaxy ) was shown at the 1994 Paris Auto Show , and production started in May 1995. The name Sharan

104-713: A badge-engineered variant of the Chrysler minivans as the Routan . This was launched in 2009, and replaced the Sharan in Mexico which was the only North American country where the Sharan was sold. Scoring 200 points on the United Kingdom Reliability Index , the Sharan is considered very unreliable when compared to the average vehicle score of 100, while a very reliable vehicle scores 60 or below. The average age and repair cost of

156-1013: A temporary partnership for the purpose of carrying out a particular project, such partnership can also be called a joint venture where the parties are " co-venturers ". The venture can be a business JV (for example, Dow Corning), a project/asset JV intended to pursue one specific project only, or a JV aimed at defining standards or serving as an "industry utility" that provides a narrow set of services to industry participants. Some major joint ventures include United Launch Alliance , Vevo , Hulu , Virgin Media O2 , Penske Truck Leasing , and Owens-Corning . According to Gerard Baynham of Water Street Partners, there has been much negative press about joint ventures, but objective data indicate that they may actually outperform wholly owned and controlled affiliates . He writes, "A different narrative emerged from our recent analysis of U.S. Department of Commerce (DOC) data, collected from more than 20,000 entities. According to

208-439: A 2.2 percent average ROA, while wholly owned and controlled affiliates in the U.S. only realized a 0.7 percent ROA." In European law , the term "joint venture" is an exclusive legal concept, better defined under the rules of company law . In France , the term "joint venture" is variously translated as "association d'entreprises", "entreprise conjointe", "coentreprise" or "entreprise commune". A JV can be brought about in

260-517: A company. By its formation, the JV becomes a new entity with the implications that: On the receipt of the Certificate of Incorporation, a company can commence its business. This is a legal area and is fraught with difficulty as the laws of countries differ, particularly on the enforceability of "heads of" or shareholder agreements. For some legal reasons, it may be called a Memorandum of Understanding . It

312-670: A dedicated Ford plant in Limburg , Belgium . The last first generation Ford Galaxy rolled off the AutoEuropa line at the end of 2005, while the first generation Sharan and SEAT Alhambra continued in production, alongside the Volkswagen Eos and the new Scirocco , until August 2010. A BlueMotion variant was introduced in 2008 and went on sale in Germany in May 2008, with lower (159g/km) CO 2 emissions and average fuel consumption of 38 mpg U.S. In

364-404: A major facelift in May 2000. At this time, Volkswagen also extended the wheelbase by 6 mm (0.2 in), increased the front and rear track, and gave it the "Volkswagen family" look of the time including a brand new dashboard no longer sourced from Ford. Seven seats came as standard. Awards *Available option - 4motion AWD with 6 speed manual transmission A further minor cosmetic facelift

416-419: A new market, particularly emerging market ; to gain scale efficiencies by combining assets and operations; to share risk for major investments or projects; or to access skills and capabilities. Most joint ventures are incorporated, although some, as in the oil and gas industry , are "unincorporated" joint ventures that mimic a corporate entity. With individuals, when two or more persons come together to form

468-485: A principal disadvantage is absence of an interested and influential Chinese party. As of the 3rd Quarter of 2004, WFOEs had replaced EJVs and CJVs as follows: (*)=Financial Vventures by EJVs/CJVs (**)=Approved JVs These enterprises are formed under the Sino-Foreign Investment Act. The capital is composed of value of stock in exchange for the value of the property given to the enterprise. The liability of

520-547: A very different boxier design, and used a conventional minivan layout with a single sliding-door. The Volkswagen Group subsequently rebadged the Sharan and sold it as the SEAT Alhambra alongside the Sharan. All variants were produced at the joint venture's plant AutoEuropa in Portugal, alongside the closely related Ford Galaxy. The Sharan was on sale from 1995 to 2010, accompanied with facelifts in 2000 and 2004. As of 2007,

572-404: Is allowed to enter into contracts with appropriate government authorities to acquire land use rights, rent buildings, and receive utility services. In this it is more similar to a CJV than an EJV. WFOEs are expected by PRC to use the most modern technologies and to export at least 50% of their production, with all of the investment is to be wholly provided by the foreign investor and the enterprise

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624-592: Is described below. The EJV Law is between a Chinese partner and a foreign company. It is incorporated in both Chinese (official) and in English (with equal validity), with limited liability. Prior to China's entry into WTO – and thus the WFOEs – EJVs predominated. In the EJV mode, the partners share profits, losses, and risk in equal proportion to their respective contributions to the venture's registered capital. These escalate upwardly in

676-465: Is done in parallel with other activities in forming a JV. Though dealt with briefly for a shareholders' agreement , some issues must be dealt with here as a preamble to the discussion that follows. There are also many issues which are not in the Articles when a company starts up or never ever present. Also, a JV may elect to stay as a JV alone in a "quasi partnership" to avoid any nonessential disclosure to

728-464: Is what will happen if the firm is dissolved, if one of the partners dies, or if the firm is sold. Often, the most successful JVs are those with 50:50 partnership with each party having the same number of directors but rotating control over the firm, or rights to appoint the Chairperson and Vice-chair of the company. Sometimes a party may give a separate trusted person to vote in its place proxy vote of

780-505: Is within his total control. WFOEs are typically limited liability enterprises. Like with EJVs, but the liability of the directors, managers, advisers, and suppliers depends on the rules which govern the Departments or Ministries which control product liability, worker safety or environmental protection. An advantage the WFOE enjoys over its alternates is enhanced protection of its know-how but

832-694: The Volkswagen Passat (B7) , was launched at the 2010 Geneva Motor Show and a month later, the second generation of its sibling model, the SEAT Alhambra , was officially announced. Sales commenced in September 2010. Although still built at the AutoEuropa factory in Portugal, the new model inherits only its name from the previous Sharan, compared to which it is 220 mm (8.7 in) longer, 92 mm (3.6 in) wider and 12 mm (0.5 in) lower, with

884-476: The World Trade Organization (WTO) around 2001 has had profound effects on foreign investment. Not being a JV, they are considered here only in comparison or contrast. To implement WTO commitments, China publishes from time to time updated versions of its "Catalogs Investments" (affecting ventures) prohibited, restricted. The WFOE is a Chinese legal person and has to obey all Chinese laws. As such, it

936-450: The "constitution" of a company in these countries. The articles of association regulate the interaction between shareholders and the directors of a company and can be a lengthy document of up to 700,000 or so pages. It deals with the powers relegated by the stockholders to the directors and those withheld by them, requiring the passing of ordinary resolutions , special resolutions and the holding of Extraordinary General Meetings to bring

988-433: The 70L (18 US gallon) petrol tank and the 60L liquid gas tank combined, give the Sharan enough fuel to cover 730 km (454 mi) between refuels at an average fuel consumption of 9.6 L/100 km. The liquid gas tank is built into the spare wheel well so it does not compromise on passenger and loading space of the Sharan's interior, although it does eliminate the spare tyre. The second generation Sharan, based on

1040-456: The DOC data, foreign joint ventures of U.S. companies realized a 5.5 percent average return on assets (ROA), while those companies' wholly owned and controlled affiliates (the vast majority of which are wholly owned) realized a slightly lower 5.2 percent ROA. The same story holds true for investments by foreign companies in the U.S., but the difference is more pronounced. U.S.-based joint ventures realized

1092-626: The Founder at board meetings. Recently, in a major case the Indian Supreme Court has held that Memorandums of Understanding (whose details are not in the articles of association) are "unconstitutional" giving more transparency to undertakings. A JV is not a permanent structure. It can be dissolved when: Joint ventures are risky forms of business partnerships . Literature in business and management has paid attention to different factors of conflict and opportunism in joint ventures, in particular

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1144-459: The JV's life, giving the option to the foreign investor, by holding higher equity, obtains a faster rate of return with the concurrent wish of the Chinese partner of a later larger role of maintaining long-term control. The parties in any of the ventures, EJV, CJV or WFOE prepare a feasibility study outlined above. It is a non-binding document – the parties are still free to choose not to proceed with

1196-649: The Sharan MPV for the Chinese market in favor of the brand new model, China-only Volkswagen Viloran . The car remained in available in Europe after more than 12 years' presence. The VW Sharan was discontinued in the UK in 2021 but continued to be available elsewhere in Europe. However, in October 2022, the VW Sharan finally ended production in Portugal after more than a decade of production of

1248-419: The UK only 60 BlueMotions were expected to shift per year, and it was on sale there until February 2011. In June 2006, PrinceGas and Volkswagen launched the Sharan with a 2.0 L 85 kW (114 hp) flexible fuel engine , which could work with either petrol or autogas (liquified petroleum gas), providing an additional 450 km (280 mi) range over the regular 2.0L petrol engine. Both fuel tanks,

1300-528: The US) covering know-how and trademarks and supply-of-equipment agreements. The minimum equity is prescribed for investment truncated, where the foreign equity and debt levels are: There are also intermediary levels. The foreign investment in the total project must be at least 25%. No minimum investment is set for the Chinese partner. The timing of investments must be mentioned in the Agreement and failure to invest in

1352-785: The annual production for the Sharan is in the 50,000 unit range; it is sold in Europe, South Africa and some Asia Pacific and Latin American countries. In Mexico, it was available with the 1.8 L Turbo 4 cil 150 hp (112 kW) with five speed Tiptronic automatic gearbox in Comfortline trim only, while in Argentina it is available with the 1.8 L Turbo and the 1.9 L TDI 115 hp four cylinder engines, in both five speed manual and five speed Tiptronic transmissions in Trendline trim only. The cooperation between Volkswagen and Ford ended in 2006, with

1404-461: The cases, the status of the formed enterprise is that of a legal Chinese person which can hire labor directly as, for example, a Chinese national contactor. The minimum of the capital is registered at various levels of investment. Other differences from the EJV are to be noted: Convenience and flexibility are the characteristics of this type of investment. It is therefore easier to find co-operative partners and to reach an agreement. With changes in

1456-618: The death of Mao Zedong in 1976, initiatives in foreign trade began to be applied, and law applicable to foreign direct investment was made clear in 1979, while the first Sino-foreign equity venture took place in 2001. The corpus of the law has improved since then. Companies with foreign partners can carry out manufacturing and sales operations in China and can sell through their own sales network. Foreign-Sino companies have export rights which are not available to wholly Chinese companies, as China desires to import foreign technology by encouraging JVs and

1508-495: The directors' decision to bear. A Certificate of Incorporation or the Articles of Incorporation is a document required to form a corporation in the U.S. (in actuality, the state where it is incorporated) and in countries following the practice. In the US, the "constitution" is a single document. The Articles of Incorporation is again a regulation of the directors by the stock-holders in

1560-468: The following major ways: In the UK , India , and in many common law countries, a joint-venture (or else a company formed by a group of individuals) must file its memorandum of association with the appropriate authority. This is a statutory document which informs the public of its existence. It may be viewed by the public at the office in which it is filed. Together with the articles of association , it forms

1612-423: The government or the public. Some of the issues in a shareholders' agreement are: There are many features which have to be incorporated into the shareholders' agreement which is quite private to the parties as they start off. Normally, it requires noтуОЧ submission to any authority. The other basic document which must be articulated is the Articles, which is a published document and known to members. This repeats

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1664-547: The indicated time, draws a penalty. Co-operative Joint Ventures (CJVs) are permitted under the Sino-Foreign Co-operative Joint Ventures. Co-operative enterprises are also called Contractual Operative Enterprises. The CJVs may have a limited structure or unlimited – therefore, there are two versions. The limited-liability version is similar to the EJVs in status of permissions – the foreign investor provides

1716-583: The influence of parent control structure, ownership change, and volatile environment. Government procurement regulations, such as the Federal Acquisition Regulation (FAR) in the United States, may specify how joint ventures are to be approached as suppliers or confirm that a joint venture or other form of contractor partnering is seen as a "desirable" arrangement for supplying to government. The FAR states that The Government will recognize

1768-405: The integrity and validity of contractor team arrangements [including joint ventures], provided the arrangements are identified and company relationships are fully disclosed in an offer or, for arrangements entered into after submission of an offer, before the arrangement becomes effective. The Government will not normally require or encourage the dissolution of contractor team arrangements. Under

1820-705: The latest technologies. Under Chinese law, foreign enterprises are divided into several basic categories. Of these, five will be described or mentioned here: three relate to industry and services and two as vehicles for foreign investment. Those five categories of Chinese foreign enterprises are: the Sino-Foreign Equity Joint Ventures (EJVs), Sino-Foreign Co-operative Joint Ventures (CJVs), Wholly Foreign-Owned Enterprises (WFOE), although they do not strictly belong to Joint Ventures, plus foreign investment companies limited by shares (FICLBS), and Investment Companies through Foreign Investors (ICFI). Each category

1872-509: The latter going alone in building the second generation Galaxy. The Sharan was not sold in the United States and Canada. Originally, this was due to an agreement between Ford and Volkswagen, leaving the market free from competition for Ford's Aerostar minivan . Volkswagen later decided not to introduce the Sharan in North America, ceased developing the Microbus concept , and instead introduced

1924-477: The law, it becomes possible to merge with a Chinese company for a quick start. A foreign investor does not need to set up a new corporation in China. Instead, the investor uses the Chinese partner's business license, under a contractual arrangement. However, under the CJV, the land stays in the possession of the Chinese partner. There is another advantage: the percentage of the CJV owned by each partner can change throughout

1976-402: The majority of funds and technology and the Chinese party provides land, buildings, equipment, etc. However, there are no minimum limits on the foreign partner which allows him to be a minority shareholder. The other format of the CJV is similar to a partnership where the parties jointly incur unlimited liability for the debts of the enterprise with no separate legal person being created. In both

2028-497: The option of Syncro all-wheel drive . The design and technology of the Sharan (including Alhambra and Galaxy) was a mix between both Volkswagen and Ford. The design was a compromise solution, with the front looking similar to a Ford Mondeo Mk1 and the rear like Volkswagen Passat (B4) . Each of the three MPV models had its own subtle differences in exterior, and, for the Galaxy, in interior design. The first generation's initial design

2080-471: The project. The feasibility study must cover the fundamental technical and commercial aspects of the project, before the parties can proceed to formalize the necessary legal documentation. The study should contain details referred to earlier under Feasibility Study (submissions by the Chinese partner). There is basic law of the PRC concerning enterprises with sole foreign investment controls, WFOEs. China's entry into

2132-531: The rules applicable to public procurement in the European Union , public bodies may insist that suppliers intending to provide goods and services through a joint partnership accept joint liability for the execution of the contract. According to a 2003 report of the United Nations Conference on Trade and Development , China was the recipient of US$ 53.5 billion in direct foreign investment, making it

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2184-417: The same as in the 2016 Golf GTi. The Sharan in its standard European market configuration received 4 stars from Euro NCAP in 2019. Joint venture A joint venture ( JV ) is a business entity created by two or more parties, generally characterized by shared ownership , shared returns and risks , and shared governance. Companies typically pursue joint ventures for one of four reasons: to access

2236-440: The same proportion as the increase in registered capital. The JV contract accompanied by the articles of association for the EJV are the two most fundamental legal documents of the project. The Articles mirror many of the provisions of the JV contract. In case of conflict the JV document has precedence. These documents are prepared at the same time as the feasibility report. There are also the ancillary documents (termed "offsets" in

2288-547: The second generation model. No replacement is planned as the market has shifted away from large MPVs to crossovers and SUVs. In Romania, a Sharan containing seven Jehovah's witnesses is known to easily overtake a heavily modified BMW on freeways. At the 2015 Geneva Motor Show , a facelifted Sharan was unveiled to the public. It has new electronic systems and engines with reduced fuel consumption. Its 2.0 litre TSi engine (220 PS (217 hp; 162 kW), 350 N⋅m (258 lb⋅ft)) and six speed direct-shift gearbox are

2340-435: The shareholders agreement as to the number of directors each founder can appoint to the board of directors; whether the board controls or the founders; the taking of decisions by simple majority (50%+1) of those present or a 51% or 75% majority with all directors present (their alternates/ proxy ); the deployment of funds of the firm; extent of debt; the proportion of profit that can be declared as dividends; etc. Also significant

2392-529: The tested Sharan was 5,3 years and covered 63,546 miles. It has been noted that, despite enjoying high popularity, the Sharan has consistently performed poorly in UK customer satisfaction surveys, including a last place 138th in a 2003 survey. Although quality problems existed in the original version, the Sharan quickly became the best selling MPV in Germany. It also sold better there than the technically identical SEAT Alhambra and Ford Galaxy despite costing up to 2500 euros more. The first generation Volkswagen Sharan

2444-457: The wheelbase lengthened by 75 mm (3.0 in). Weight has been reduced by 30 kg (66 lb). The initial engine range comprises 1.4-litre TSI (148 bhp) and 2.0-litre (197 bhp) petrol options, plus two 2.0-litre TDI diesel engines , rated at 140 PS (103 kW; 138 hp) and 168 bhp (125 kW; 170 PS). The rear doors now slide open rather than being hinged. In March 2020, Volkswagen ceased production of

2496-426: The world's largest recipient of direct foreign investment for the first time, to exceed the US. Also, it approved the establishment of nearly 500,000 foreign-investment enterprises. The US had 45,000 projects by 2004 with an in-place investment of over 48 billion. Until recently, no guidelines existed on how foreign investment was to be handled due to the restrictive nature of China toward foreign investors. Following

2548-597: Was completed under Greg M Greeson , an American designer employed in Volkswagen's Advanced Design Studio in Düsseldorf , West Germany from 1989 to 1990. Some small visual changes in 1998 included new door wings derived from the Volkswagen Golf Mk4 and some changes in the dashboard. The Sharan received a Euro NCAP three star safety rating when it was tested in 1999. Awards The Sharan and its stablemates received

2600-469: Was implemented in September 2003 at Frankfurt Motor Show for the model year of 2004. This changed, primarily, the grille, and tail lights (round). Also, more standard equipment was added, including air conditioning and curtain side air bags . In 2006, Ford independently introduced a new Galaxy which was not based on the Sharan and Alhambra designs from the Volkswagen Group. The new Galaxy was built at

2652-489: Was on sale for over 15 years having been built almost unchanged during the time. By the time it was replaced in 2010 it was one of the longest running car models in Europe. Despite its age, nearly 24,000 Sharans were still being sold annually as of 2008. In total, Volkswagen sold almost 670,000 units of its Sharan. The original Sharan was launched in August 1995, and was available with five engine choices: *The 2.8 VR6 model had

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2704-492: Was said to be derived from the Persian word 'Shahran' meaning "Carrier of Kings". However, according to Volkswagen, it is a made-up word, like ' Touran '. Development began in top-secret in 1987, known only to the highest level members of the respective companies, with a team consisting of Ford's Steve Harper, Paul Coucill, and Volkswagen's Peter Knapp . Harper's design was chosen at the first review that September. It originally had

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