Corporate venture capital (CVC) funding represents a significant part of the venture capital market (Chesbrough, 2002). CVC investments give the investing firm a window onto new technological developments, and CVCs benefit the most from these investments when they are strategic in nature, rather than purely financial (e.g., Dushnitsky & Lenox, 2006) and when the CVC has a high level of involvement with the start-up companies it invests in (Wadhu & Kotha, 2006). Interestingly, we know relatively little about the effect of these investments on the financial performance of the start-ups receiving them. For example, if the CVC firm benefits the most from having strategic motives associated with the start-ups it invests in, what does this mean to the start-up firm?
Matusik, Sharon F.; Heeley, Michael B.; and Fitza, Markus
"CVC FROM THE START-UP PERSPECTIVE: A QUALITY OR MIXED SIGNAL? (SUMMARY),"
Frontiers of Entrepreneurship Research: Vol. 29
, Article 12.
Available at: http://digitalknowledge.babson.edu/fer/vol29/iss3/12