No risk no funding The distinct effects of institutional strength and institutional stability on venture capital investments

IF 1.4 Q3 MANAGEMENT

International Journal of Entrepreneurial Venturing Pub Date : 2023-01-01 DOI:10.1504/ijev.2023.130707

Felix Hoch, Todor S. Lohwasser

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引用次数: 1

Abstract

Research on the impact of institutions on venture capital investments has revealed a puzzling picture. While institutional theory predicts that higher developed institutions should promote investments, the empirical evidence for venture capital investments is surprisingly ambiguous. This study connects the institution-based view and the unique characteristics of venture capital investors by examining the distinct effects of institutional strength and institutional stability on venture capital investments. Empirical results from 58,062 individual companies, nested in 104 countries, show that ventures attract higher investments in countries with higher institutional strength but lower institutional stability. However, both institutional strength and institutional stability increase the survivability of those funded ventures. Hence, we promote a dynamic perspective on institutional effects for founders, investors, and policy-makers, since these institutional effects differ between institutional strength and stability as well as between different firm characteristics, strategies, and performance dimensions.

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无风险无融资制度实力和制度稳定性对风险资本投资的显著影响

关于制度对风险投资影响的研究揭示了一幅令人困惑的图景。虽然制度理论预测，较发达的制度应该促进投资，但风险资本投资的实证证据却令人惊讶地模糊。本研究通过考察制度强度和制度稳定性对风险投资的不同影响，将制度基础观点与风险投资者的独特性联系起来。来自104个国家的58062家公司的实证结果表明，在制度实力较高但制度稳定性较低的国家，风险投资吸引的投资更多。然而，制度强度和制度稳定性都增加了这些投资企业的生存能力。因此，我们提倡对创始人、投资者和政策制定者的制度效应进行动态分析，因为这些制度效应在制度强度和稳定性以及不同的公司特征、战略和绩效维度之间是不同的。

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来源期刊

International Journal of Entrepreneurial Venturing MANAGEMENT-

CiteScore

2.60

自引率

20.00%

发文量

期刊介绍： The journal name relates to Harvard Business School''s understanding of "The Entrepreneurial Venture" (Sahlmann/Stevenson/Roberts/Bhidé), the concept of entrepreneurship not only limited to new ventures/start-ups, but further understood as the concentration of opportunity/growth/value creation regardless of company size, age or kind. Hence, IJEV addresses organisational processes surrounding these concepts: from an idea to an innovation. To bridge the gap between innovation and entrepreneurship research, IJEV emphasises implications of this new knowledge for researchers, managers, public policy makers and business educators. Topics covered include: -Opportunity: identification; recognition; creation; selection; exploitation -Growth: management of rapidly growing enterprises; control -Value creation: for owners; for customers; other stakeholders; society -Entrepreneurship and intrapreneurship -New venture creation -Management of technology and innovation -New product development and creativity -SME management -Entrepreneurial and small enterprise finance -Crowdsourcing and crowdfunding -Family business -Gender and diversity -Global entrepreneurship and internationalisation -Public policy, the economy, and the small enterprise -Business and organisational failure