Entrepreneurship and organizational design: investor specialization
Entrepreneurship and organizational design: investor specialization
Purpose: this paper seeks to investigate the impact of venture capital firm organization (VC) on operations at portfolio companies, emphasizing particularly value added and involvement.
Design/methodology/approach: prior literature indicates the importance of organizational design on the VC firm's engagement and monitoring practices. A survey methodology is used to examine such relationships, including the significance of human capital for the process of investor engagement.
Findings: the paper finds that VC organizations with a market focus and deal specialization are much more involved in portfolio companies than the firms who diversify their portfolios. This suggests that organizational focus is an important construct for explaining the degree of support accorded to portfolio companies by venture capitalists. The research also evaluates the performance outcomes of VC firm organization.
Originality/value: the research emphasizes the importance of organizational factors in the investment strategies of venture capital firms
entrepreneurialism, entrepreneurs, investors, organizational design, venture capital
883-896
Casson, Peter D.
5ac137b1-dc94-41fb-82c5-736ad5be75c2
Nisar, Tahir M.
6b1513b5-23d1-4151-8dd2-9f6eaa6ea3a6
2007
Casson, Peter D.
5ac137b1-dc94-41fb-82c5-736ad5be75c2
Nisar, Tahir M.
6b1513b5-23d1-4151-8dd2-9f6eaa6ea3a6
Casson, Peter D. and Nisar, Tahir M.
(2007)
Entrepreneurship and organizational design: investor specialization.
Management Decision, 45 (5), .
(doi:10.1108/00251740710753693).
Abstract
Purpose: this paper seeks to investigate the impact of venture capital firm organization (VC) on operations at portfolio companies, emphasizing particularly value added and involvement.
Design/methodology/approach: prior literature indicates the importance of organizational design on the VC firm's engagement and monitoring practices. A survey methodology is used to examine such relationships, including the significance of human capital for the process of investor engagement.
Findings: the paper finds that VC organizations with a market focus and deal specialization are much more involved in portfolio companies than the firms who diversify their portfolios. This suggests that organizational focus is an important construct for explaining the degree of support accorded to portfolio companies by venture capitalists. The research also evaluates the performance outcomes of VC firm organization.
Originality/value: the research emphasizes the importance of organizational factors in the investment strategies of venture capital firms
This record has no associated files available for download.
More information
Published date: 2007
Keywords:
entrepreneurialism, entrepreneurs, investors, organizational design, venture capital
Identifiers
Local EPrints ID: 47666
URI: http://eprints.soton.ac.uk/id/eprint/47666
ISSN: 0025-1747
PURE UUID: 813352e7-75b5-462c-8a73-d17b587aa1dc
Catalogue record
Date deposited: 07 Aug 2007
Last modified: 16 Mar 2024 03:21
Export record
Altmetrics
Contributors
Author:
Peter D. Casson
Download statistics
Downloads from ePrints over the past year. Other digital versions may also be available to download e.g. from the publisher's website.
View more statistics
