During the most recent board meeting, you were asked to present your analysis and recommendations on the proposal for a five-year joint venture (JV) with one of the top restaurant chains in India. One issue raised during the meeting is the protection of the firm's intellectual or strategic assets, particularly the firm's innovation capability through its unique technology, process, and skills in running a specialty coffee shop This innovation capability has been the foundation of the firm's competitive advantage because it is not only valuable (V), rare (R), and organized (O) within the firm but also extremely inimitable (I). This capability is central to the firm's value chain.

Question:

Recommend to the top management team (TMT) that the proposed JV is an effective strategy that will enhance the firm's value chain because of synergy and will likely lead to the firm's competitive advantage in a highly competitive industry in India. Assume that this highly competitive industry is characterized by buyers' strong bargaining power and a substantial number of substitutes. Draw on our relevant topics under the resource-based view (RBV) and industry view of strategy and firm performance. (Maximum 400 words)