• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.12 no.1
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• pp.25-31
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• 2017

The objective of this study is to find the failure factors of venture companies. We analyze 210 troubled venture companies, all of which have been under guarantee from the Korea Technology Finance Corporation over the last three years. Methods of analysis for failure factors are as follows. First, we categorize the failure factors into the four different types based on growth and profitability indicators in the financial statements of targeted venture companies. Then we analyzed the failure factors of the subject companies based on the troubled guarantee reports made by the Korea Technology Finance Corporation. If a venture company under its guarantee program falls into insolvency, the Korea Technology Finance Corporation make the troubled guarantee report to find out the failure factors and evaluate the recovery potentials. We identify 374 failure factors of venture companies through the analysis. The most prominent among them are deteriorating of business environments (79 factors) and decreasing or withdrawing orders from major suppliers (54 factors) due to bankruptcies or change in business plans. They are followed by slowing collection of accounts receivable (31 factors), dropping or frozen product price (24 factors) due to intensifying competition and escalating pressures from major suppliers, rising raw material costs both at home and abroad (21 factors). In addition, the nuclear power plant disaster in Japan, shut-down of the Kaesong Industrial Complex and subsequent lawsuits, delay in technology development projects, high cost-low efficiency management structure, etc., are also revealed as new factors causing trouble for venture companies.

• The Journal of Asian Finance, Economics and Business
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• v.9 no.1
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• pp.25-34
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• 2022

Established and new companies face similar business challenges in achieving performance and competitiveness. Furthermore, several empirical studies using competitive advantage resource-based view theory show that established companies achieve performance and competitiveness with breakthrough innovations. Similarly, new business ventures with limited resources must incorporate breakthrough innovations to achieve performance and competitiveness. Therefore, this study aimed to examine the impact of ambidextrous innovation on new venture performance and competitiveness. It used an online survey to collect data from 178 newly established shipping agency companies in 22 provinces in Indonesia. Data was analyzed using multivariate analysis with WarpPLS 7.0, where the analysis unit was an organization represented by a director. The results showed that ambidextrous innovation positively and significantly affects firm performance and new venture competitiveness. This means that ambidextrous innovation that emphasizes adaptation and development improves the firm's internal business processes, even with limited resources. Moreover, it increases new ventures' competitiveness in responding to threats and taking advantage of market opportunities. These results contribute to the competitive advantage resource-based view theory, specifically for new venture empirical examination. Also, they contribute to practical implications in the transportation business, demonstrating that exploitative breakthrough innovation can improve new venture competitiveness and performance.

• Journal of Digital Convergence
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• v.16 no.3
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• pp.121-127
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• 2018

Enterprises' new technology development capability is essential for creating successful product innovation and process innovation in the heavy competition in the business context changing quickly with technology convergence and development. Based on the open innovation perspective, this research develops a research model about the direct effect of small and medium venture companies' exterior information network heterogeneity on their new technology development capability and the mediating impact of their product planning capability on this direct effect. This study statistically tests the research model by using the ordinary least squares regression with the 683 small and medium venture companies, providing two major findings as follows. One finding is that small and medium venture companies' exterior information network heterogeneity positively impacts their new technology development capability. The other finding is that small and medium venture companies' product planning capability perfectly mediates the positive effect of their exterior information network heterogeneity on their new technology development capability.

• Journal of the Korean association of regional geographers
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• v.10 no.4
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• pp.713-726
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• 2004

This paper aims to investigate the characteristics of innovation activities and informal networks of venture companies in Daegu region. The most important knowledge source of them for innovation is in house. The next are customers, competitors, and public supporters. And it was investigated that regional venture companies have participated in 1-5 informal network organizations. They primarily achieve such knowledges as, technologies, new business opportunities, and marketing information, through participation in informal networks. The reasons why they have taken part in informal networks are to get new informations and acquire new business opportunities. Particularly The informal networks between ventures companies and other regional economic actors have helped the regional venture companies to obtain more economic performance and to establish social capital, such as faith, with other economic actors.

• Asian Journal of Innovation and Policy
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• v.7 no.3
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• pp.534-563
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• 2018

Venture Capital Firms (VCs) encounter severe information asymmetry risks at almost every stage in their investment lifecycle. This paper explores the agency risks arising from information asymmetry during the stage of exits by VCs from the funded companies in their portfolio and how that impacts the incidence of specific types of type of exits (IPOs/M&As). In this empirical study, by using the data on IPO and M&A exits from venture capital-funded companies, we show how the ability of prospective buyers to better resolve agency risks is directly correlated with the incidence of the above exit types. Using the technique of logistic regression, we demonstrate that factors such as syndication, specialization focus of the VC firm (in terms of stage and sector) and the level of its social capital (proxied by its age and experience) drive the success rate of exits. This is one of first studies in context of exits from VC funded companies in the Indian context.

• Management & Information Systems Review
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• v.9
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• pp.99-115
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• 2002

This study focuses on forces and correlation among such independent factors as the style of leadership, motivation and relationship in order to find out what kind of ingredients have an effect on the employees' organizational commitment in a venture company. It is likely that the organizational commitment of the employees in the organization in a venture company may be different from that of existing enterprises since they differ 100 percent in their nature. In an attempt to prove it, actual corroboration has been made. As a result, it turned out that transformational leadership had a great impact on the organizational commitment while transactional leadership did not; in the motivation factor, the more vision the employees envisage, the more organizational commitment they show followed by management goals and self-admiration; in the relational factor, more openness in the communication led the employees to devote themselves to their companies, which was valid in the range of 90% in the confidence index. This study reveals that there is not much difference between venture and general companies in the factors that affect employees' organizational commitment in the organization. Therefore, the Chief Executive Officer in the venture company should make a favorable environment with transformational leadership and obvious vision through free and open communication with colleagues so that his or her employees can devote themselves to the organization to which they belong, since venture companies are usually staffed by young workers with high education.

• Proceedings of the Korea Technology Innovation Society Conference
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• 2005.05a
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• pp.46-59
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• 2005

After the IMF jurisdiction period, the Korean economy experienced a venture boom. Korean venture enterprises had been recognized that high profitable and high technology capacity based. These ventures also have contributed to national added value tolerably. In particular, Korean information technology (IT) venture companies got away the order of economy concentrated big companies, which were taken the opportunity of new economy to make suggestion of the future courses and to open an e-Korea era. However, IT ventures firms or dotcom enterprises have had difficulties through sinking down their bubbles and slumping technology sector from the first half of the 2000. In consideration of Korea IT venture companies' conditions, Korean government introduce new national vision in order to go ahead of intelligence based society form knowledge based. Korea is planning new investment to meet with the challenge of globalization proactively by national band named u-Korea. As following a step in IT infrastructure, it will give Korean IT ventures new demand creative technologies and services by new technological windows of opportunity. This situation is expected that will become an economic take-off. This paper will look for the way to stimulate Korean IT ventures' competence and present new frontier of IT ventures turnaround.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.11 no.2
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• pp.207-219
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• 2016

Venture company refers to technology-intensive start-ups which is characterized by high high returns and risks to challenge new business to have new ideas and technology. These venture companies, ripple effect on the competitiveness of the national industry is large, and has emerged as a new industry that is able to overcome the difficulties of low growth, as an important element in regional development strategy, urban economy of not only activation, with a large impact on the regeneration and revitalization of the city that has lagged behind, has been recognized its importance. In this study, by investigating the influence of the Anyang city development strategy based on the location factor of venture companies for the activation of Anyang City urban development in satisfaction as an intermediary, empirically location of venture companies factor is trying to analyze the effect of parameters of Anyang city development strategy in relation to the satisfaction. Analysis method is to distribute the questionnaire were analyzed using the SPSS statistical program, the results are as follows. Location factors of venture companies, government support, transportation accessibility, venture integrated factors, it appears as four factors factors of support facilities, the analysis result venture firm location factors found to affect positive satisfied (+) It was. Secondly, in order to verify the parameter effects the result Anyang urban development strategy of using three steps regression analysis, as there is influence of the positive (+) mediated effect was investigated. These results, in order to increase the satisfaction of Anyang City, is not only the physical environmental elements, it is necessary to make the urban development strategies.

• Journal of Digital Convergence
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• v.11 no.5
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• pp.73-81
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• 2013

The paradigm of IT ecosystem has been rapidly changing into open ecosystem irrespective of the territory on which the device, software and contents are located. IT venture ecosystem which can compete and collaborate with the global companies is really needed because the global opportunity of IT venture company has been expanding. Research model based on PEST-SWOT-AHP(Analytic Hierarchy Process) model was employed to analyze the current status and problems of IT venture ecosystem in Korea. Survey was conducted with 20 experts who are involved in venture companies, university, R&D research institute, and investment companies as a working group supported by the Ministry of Knowledge Economy (MKE). The empirical result showed that global promotion of IT ventures, coexistence and development of large enterprises and ventures, revitalization of investment infrastructure, and building of smart venture ecosystem are derived to revitalize IT venture ecosystem and suggested global revitalization model for smart IT venture ecosystem.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.14 no.2
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• pp.1-13
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• 2019

As a way to find new and innovative technologies, many companies have invested in and acquired skilled startups. Because startups are usually small in size and have a small history of past business experience, there are many risks involved in acquiring them as they have limited technical skills and business feasibility verification methods. Thus, venture capital plays an important role in discovering and investing competitive startups. While Independent Venture Capital generally values financial returns, Corporate Venture Capital, which plays investment roles in the firm, values business synergies with the parent company from a strategic perspective. In an industry sector where development of technology is rapid and whether new technology is held determines a company's competitiveness, existing companies incorporate startups with innovative technologies into their investment portfolios, collaborate together, and take over for comprehensive cooperation. In addition, new investments and acquisitions are carried out through the management of portfolio companies to obtain and utilize industry information. In this paper, major U.S. companies listed in the U.S. verified their investment activities through corporate venture capital and their impact on parent companies and startups through regression, while the parent company's acquisition performance was analyzed through an event study based on a stock price analysis. The criteria for startup were defined as companies with less than 12 years of experience, and the analysis showed that the parent companies with corporate venture capital with a larger number of investments actively take over startups. In addition, increasing corporate venture capital's financial investment activities shows a negative impact on the parent companies' acquisition activities, and the acquisition performance increased when the parent companies took over startups in its portfolio.