• Asia-Pacific Journal of Business
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• v.15 no.1
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• pp.179-192
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• 2024

Purpose - The purpose of this study is to examine the effect of entrepreneurial experience, business model innovation and financing on new venture performance. Design/methodology/approach - This study analyzes survey data on new ventures in Korea and investigated research hypothesis by multiple regression analysis. Findings - Founders' prior startup experience have different impacts on performance depending on whether they had a successful or failed startup. Successful experience has a positive impact on early performance, while failure experience has a negative impact. Business model innovation shows a positive and significant relationship with early performance. External financing has different effects depending on the type of funding source and performance variables. VC funding is positively related to employment creation, while government R&D funding is negatively related to sales volume. Research implications or Originality - This study confirms that the impact of entrepreneurial experience on early performance varies depending on the characteristics of successful and unsuccessful entrepreneurs. It also empirically confirms that business model innovation has a significant impact on early performance. We empirically examine the relationship between various external financing sources of venture firms and early performance. Since the effects of entrepreneurial experience, business model innovation, and external financing on early stage performance may be different, entrepreneurs should consider these relationships when pursuing early stage business opportunities.

• Knowledge Management Research
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• v.17 no.2
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• pp.75-101
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• 2016

Since 2009, China has become biggest automobile supplier and consumer all over the world. Chinese government and automobile firms have been executed strategic and aggressive industry policy and business strategy for nurturing automobile industry as a core manufacturing industry. However, can we assure that all of these policy and strategy have positive effect on Chinese automobile industry? For fulfilling this gab, our research examined the government policy and firm's strategy in different development stage of Chinese automobile industry. According to research result, at initial stage(1983-1996), Chinese automobile industry has grown by technological learning and reverse engineering from Soviet Union, Japan and Germany. In rapid growing stage(1996-2009), Chinese automobile firms have succeed to develop and produce own brand product with 100% own technology. And this kind of quantum jump in technology development was conducted by joint venture policy and M&A strategy. However, at the fourth stage(2010-), Chinese government and firms have over invested and focused on Electric Vehicle manufacturing without developing core technology or SW. Overall, the old-fashioned policy and strategy module in manufacturing industry of China could have negative effect on its industry development.

• The Journal of Information Systems
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• v.14 no.1
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• pp.251-275
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• 2005

The advantages of implementing a virtual channel can be derived from the notion of the 'death of distance' that would result from electronic commerce. According to this view, the internet was going to make distance irrelevant, in that firms would no longer need to establish a physical presence in a geographical location in order to do business there. However, on-line firms selling physical products could take advantages of presence in the related off-line(brick and mortar) industrial area. This paper developed a conceptual framework that highlights the various types of synergies by location on-line businesses in the related off-line industrial area. Using data from 96 on-line ventures selling physical products, factor analysis was used to figuring out six synergies including improved customer trust, value-added service, cost savings, personnel and organizational efficiency, sharing products and customer information, relationship with suppliers, and relationship with local government. The six empirically derived critical synergy factors were then used to examine how they improve performance of the on-line ventures measured by Balanced Scorecard(BSC). According to lthe results, we concluded that the on-line firms selling physical products can take advantages of presence in the related off-line industrial area.

• Journal of Digital Convergence
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• v.12 no.4
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• pp.115-131
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• 2014

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.

• The Korean Journal of Financial Management
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• v.25 no.1
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• pp.177-196
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• 2008

The megatrend of convergence in finance, telecommunication, and service industries is being spread over the whole industry. It has generated various kinds of contractual alliance or joint venture. Our paper builds a theoretical model for the profit sharing between two firms that participate in a joint venture. The model shows how the profit sharing rule affects the incentives of the participants, and, eventually, the efficiency. We derive the first-best solution of the profit sharing, where no incentive distortion exists. Then, we compare the incentive-affecting cases with the first best outcome, and assess the efficiency and the fairness of distribution. Our analysis shows that if we properly design the decision-making structure on transfer price and production quantity, we can reach the socially optimal efficiency.

• Korea Trade Review
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• v.48 no.1
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• pp.83-126
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• 2023

The revenue histogram of venture businesses is shifting from bell-shaped normal distribution to power-law distribution, which implies that the fitness landscape of the venture businesses ecosystem is changing to be more rugged terrain. We argue that the firm should adopt both exploitation (fast follower) and exploration (or first mover) strategies not to get stuck in local maxima in the rugged fitness landscape from the complex system perspective. By designing and performing agent-based modeling simulation experiments which consist of three types of agents (new technologies, entrepreneurs, and consumers), we demonstrated that the ambidexterity strategy showed the highest performance score in three of four different environment except 'Fast Widening' case where the exploitation strategy showed the highest performance score under low technology appropriation and fast disruptive technology development speed. By investigating the financial and other statistics of 617 top venture businesses who have earned 100B won or higher annual revenue, we concluded that 82% and 9% of firms are bent on the exploitation and exploration strategy.

• Journal of Technology Innovation
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• v.7 no.1
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• pp.36-59
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• 1999

Fundamental advances in the biotechnologies are exerting a profound influence on the health care, agricultural, industrial chemical, environmental, and other industrial fields. Korean government are now more and more realizing the importance of biotechnology as a main technology for the 21st century. But any technical progress is largely the result of a complex set of relationships among the firms, institutions and others involved in development. So understanding the complexity is very important to make promoting strategies and it is even critical in the field of biotechnology. The reason is that commercialization of research results in biotechnology is strongly related with the national science bases provided by academic and public institutes. And its applicable industrial sectors are very diverse. So it is very important to make a effective collaboration system among many R&D related agents. This article discusses and compares both USA and Japanese framework of national innovation systems in the field of biotechnology. The American Innovation system encourages basic research in the biological sciences, and fosters the creation of small venture firms that focus on the development of novel products. America's peculiar incentive structure, derived from its research and educational system, financial system, and regulatory environment has driven USA labs and firms to the forefront of many biotechnology fields. The Japanese institutional environment in contrast, supported the strategy of building production expertise. Firms were urged to use the new techniques as a way of leapfrogging into a second generation of bio-products, in that cost and production advantages count. But the strategy was not effective as expected and Japanese firms have remained competent but not prominent rivals. The differing situations in USA and Japan with regard to biotechnology have many suggestions for our bioindustry. In the conclusion of this article, we translate USA and Japan's experiences to some suggestions which guide for promoting Korea's biotechnology R&D and commercialization activities.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.14 no.6
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• pp.29-43
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• 2019

This paper empirically analyzed the relationship between the characteristics of venture business founders and management performance, setting the management strategy as a parameter to provide a suggestion for the survival and development of venture companies that play an important role in the national economy and job creation. Previous studies in Korea have analyzed the relationship between the characteristics of business founders, management strategies and management performance in a single dimension. This paper, however, explained the business performance of a company from a multi-dimensional perspective while setting the characteristics of business founders as independent variables and setting the business strategy of the enterprise as a parameter. The first result of the analysis shows that the characteristics of venture business founders have a positive effect on business performance. In particular, among the characteristics of venture business founders, a progressive spirit has had the greatest impact on business performance. On the other hand, the influence of risk sensitivity was very weak. Second, the characteristics of venture business founders were found to have a positive effect on business strategy. In particular, innovation was an important variable that affected the technological innovation differentiation strategy, and a progressive spirit was the most influential factor in the marketing differentiation strategy. Third, management strategies of venture firms were found to have a positive effect on business performance. In particular, the technology innovation differentiation strategy has a greater impact on business performance than the marketing differentiation strategy. Fourth, it was revealed that management strategy partially has a mediated effect on the relationship between the characteristics of venture business founders and management performance. In other words, it was found that the characteristics of the founders have a direct impact on business performance but if it is linked to management strategy it has an indirect effect on business performance. The results of this study show that business performance improves when venture business founders' personal characteristics and the firms' management strategy are combined.

• 한국산학경영학회:학술대회논문집
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• 2006.06a
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• pp.209-218
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• 2006

창업자본시장에는 다양한 유형의 자본이 서로 경쟁하고 있다. 과거에는 벤처캐피탈이 정부의 보조금과 지원으로 경쟁력이 부족한 업체도 시장에서 생존할 수 있었다. 하지만, 산업환경이 많이 바뀌었고 오늘날의 경쟁적인 환경하에서 적응하기 위해서는 벤처캐피탈 회사는 필요한 인적자원을 확보하고 경쟁우위의 원천인 지식과 테크닉을 축척해야 한다. 본 논문은 조직상황의 차이에 따라 벤처캐피탈의 인적자원의 특성의 차이가 있는지 인적자원과 조직상황의 특성의 차이에 따라 투자전략은 영향을 받는지 실증 연구하였다.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.19 no.3
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• pp.81-95
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• 2024

This study empirically analyzed the effectiveness of government financial support policies for venture enterprises in the Daejeon region, using raw data obtained from the Small and Medium Venture Business Administration's survey results from 2016 to 2021. Daejeon, considering its economic significance, has a significant proportion of venture enterprises in its economy compared to the national average, with a focus on technological development. Conducting regression analysis yielded several key findings. Firstly, loan and guarantee support is effective for improving sales and market share, while R&D support is effective for technological development. Second, R&D and loan support have the most significant impact on sales in the fourth stage (maturity), while guarantee support is most influential in the third stage. Third, in industry analysis, the coefficients representing the effects of financial support were larger across all performance indicators compared to firm level data analysis. Based on these empirical analysis results, the study proposes several policy implications as follows. First, the government should actively provide funding support to venture companies rather than leaving investments to the capital market. Second, the methods and targets of funding support should vary according to the purpose of the support. Third, it is necessary to establish a platform that connects venture companies with private investors to commercialize developed technologies. Fourth, the funding support of venture capital for technology-intensive venture companies should be expanded.