Venture capital investor type and the growth mode of new technology-based firms

Fabio Bertoni, Massimo G. Colombo and Luca Grilli
Additional contact information
Massimo G. Colombo: POLIMI - Politecnico di Milano [Milan]

Post-Print from HAL

Abstract: Independent venture capital (IVC) investors have more powerful incentives than corporate venture capital (CVC) investors to take actions that signal their capabilities (i.e. to "grandstand"). We argue that this should engender differences in the treatment effect of IVC and CVC on the mode of growth of portfolio companies. Short-term sales growth of IVC-backed firms in the period that immediately follows the VC investment should outpace that of CVC-backed firms, while we expect no difference in employment growth. We find support for these theoretical predictions on a sample of 531 Italian new technology-based firms, using several panel estimators to control for endogeneity of IVC and CVC.

Date: 2013-04-01
References: Add references at CitEc
Citations: View citations in EconPapers (31)

Published in Small Business Economics, 2013, 40 (3), 527-552 p. ⟨10.1007/s11187-011-9385-9⟩

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
Journal Article: Venture capital investor type and the growth mode of new technology-based firms (2013)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:hal-02312954

DOI: 10.1007/s11187-011-9385-9

Access Statistics for this paper

More papers in Post-Print from HAL
Bibliographic data for series maintained by CCSD ().