Success in Global Venture Capital Investing: Do Institutional and Cultural Differences Matter?

被引：124
作者：
Nahata, Rajarishi [1 ]
Hazarika, Sonali [1 ]
Tandon, Kishore [1 ]
机构：
[1] CUNY Bernard M Baruch Coll, Zicklin Sch Business, New York, NY 10010 USA
来源：
JOURNAL OF FINANCIAL AND QUANTITATIVE ANALYSIS | 2014年 / 49卷 / 04期
关键词：
VALUE CREATION; AGENCY COSTS; INVESTMENT; MARKETS; SYNDICATION; FOREIGNNESS; LIABILITY; IMPACT; BANKS; LAW;
D O I：
10.1017/S0022109014000568
中图分类号：
F8 [财政、金融];
学科分类号：
0202 ;
摘要：
We analyze the impact of institutional and cultural differences on success in global venture capital (VC) investing. In both developed and emerging economies, superior legal rights (and enforcement) and better developed stock markets significantly enhance VC performance. Remarkably, cultural distance between countries of the portfolio company and its lead investor positively affects VC success. Further analysis reveals that cultural differences create incentives for rigorous ex ante screening, improving VC performance. Finally, local VC participation enhances success and mitigates foreign VCs' "liability of foreignness," albeit only in developed economies. Our findings follow from analyzing VC investments in nearly 10,000 companies across 30 countries.
引用
收藏
页码：1039 / 1070
页数：32
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