Modeling new venture performance: an analysis of new venture strategy, industry structure, and venture origin

Article Abstract:

An evaluation of new venture companies in the information processing industry is presented. The interactive roles of strategy, industry structure and venture origin are evaluated to discern strategic decisions in new ventures. The study shows that no single strategy is dominantly effective. For example, successful high barrier industries initiate product and services innovations for market breakthroughs while low barrier ones utilize strong marketing strategies. New venture parentage is not seen as a factor to success.

Methods, New business enterprises, Startups, Industrial management, Business success

---

Venture capitalists' decision criteria in new venture evaluation

Article Abstract:

An exploratory research project on the efficiency and effectiveness of venture capitalists' decision-making is evaluated in the initial stages of the decision process. Results show that consideration of both criteria and the decision process yields more reliable data than if based on criteria alone. The multistage, multicriteria, multiperson sampling made for a more realistic setting and data collection through verbal protocal analysis is found to be highly effective.

Decision-making, Decision making, Investments

---

Splitting the firm between the entrepreneur and the venture capitalist with the help of stock options

Article Abstract:

The sharing of ownership of a business between an entrepreneur and venture capitalist is based mainly on the Net Present Value (NPV) rule. Difficulties arise when the value of the company cannot be agreed upon because of the expectation gap and the motivation problem. Stock options can be used to deal with these problems by manipulating incentives and providing a compromise between the expectations of the entreprenuer and the capitalist.

Usage, Economic aspects, Small business, Stock options, Valuation, Entrepreneurship

Similar abstracts:

• Abstracts: Predicting business failure of retail firms: an analysis using mixed industry models. Retail building supply industry
• Abstracts: Improving the performance of the stock market. Public Policy and Price Per KWH. Improving Public Sector Management
• Abstracts: Perceiving and interpreting environmental change: an examination of college administrators' interpretation of changing demographics
• Abstracts: Individual self-management: analysis of professionals' self-managing activities in functional and cross-functional work teams
• Abstracts: Value to the customer and the strategic leadership star. Management aspects of strategic partnering. Wanted: a strategic planner for the 1990s

This website is not affiliated with document authors or copyright owners. This page is provided for informational purposes only. Unintentional errors are possible.