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http://dx.doi.org/10.14400/JDC.2014.12.4.115

An Empirical Study on the Effect of Venture Capital Investment on the Technological Performance of SMEs  

Kim, Jae-Jin (Graduate School of Venture, Hoseo University)
Yang, Dong-Woo (Graduate School of Venture, Hoseo University)
Publication Information
Journal of Digital Convergence / v.12, no.4, 2014 , pp. 115-131 More about this Journal
Abstract
This study analyzed the impact of the investment of venture capital firms(VCFs) on the technological advancement of SMEs, which could be represented as the numerical increasement of patents. The results of this study are as follows: the higher proportion of VCFs' shares or the higher intensity of R&D, the more positive impact has been shown in the technological advancement of SMEs. Also, the joint investment of VCFs or the leading investors' stock acquirement had a positive impact on the technological improvement of them. Meanwhile, the meaningful relationships of company-size and the technical manpower with technological development were not identified although they were marginally positive. Those could be interpreted that the VCFs' supervision and control, including their managerial and technical advice, over invested companies display effectiveness for SMEs. It could also be interpreted that investors concentrate their investment on the relatively stable companies or the companies which other investors already finished screening.
Keywords
SMEs; investment of venture capital; technological performance; patent; R&D intensity;
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Times Cited By KSCI : 2  (Citation Analysis)
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