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The Performance of University Venture Capitals in Korea  

Kim, Do Seong (Sogang Business School, Sogang University)
Ahn, Seoungp (Sogang Business School, Sogang University)
Publication Information
Asia-Pacific Journal of Business Venturing and Entrepreneurship / v.15, no.1, 2020 , pp. 17-29 More about this Journal
Abstract
In recent years, universities, with their intellectual properties and human resources, become main drivers for technology transfer. Universities in Korea have various organizations to support the technology transfer and commercialization. Among them, a technology holding company plays the critical role to successfully implement the task. Nonetheless, the performance of the technology holding company is well below the expectation of industry, government and universities themselves. The lack of expertises and experience together with the ill-suited government policies could be attributable to the observed under performance. More recently, however, the technology holding company acts as an accelerator or venture capital to search and fund promising start-ups. The university venture capital thus transforms a traditional university into an entrepreneurial university. Focusing on the role of the technology holding company as an accelerator or venture capital, the paper analyzes the characteristics of the university venture capital and the invested start-ups. The performance of the university venture capital is measured and the determinants of the performance are empirically tested. The results show that the co-investment of outside investors and the support of government program, known as Tech Incubator Program for Startup Korea, yields the highest performance. The result indicates that the coordination of the university venture capital, industry and government is the key to the success of early start-ups. The paper is the first to analyze the performance of the university venture capitals in Korea and thus contributes to the literature.
Keywords
Technology Holding Company; Accelerator; Venture Capital; Start-Ups; Investment Performance;
Citations & Related Records
Times Cited By KSCI : 6  (Citation Analysis)
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