• The Journal of the Korea Contents Association
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• v.12 no.9
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• pp.280-292
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• 2012

In general, a venture capital invests in tech startups and helps them improve the corporate transparency through board of directors. With respect to venture capital investment and its impact on the corporate transparency of the newly public firms from 2004 to 2010 in Korea, we have made regression analysis. First, it was found that it was likely to be less transparent, the larger its asset size or the higher its debt ratio was. Second, lower level of ownership-control disparity resulted in higher transparency. Third, a shorter period to IPO and higher growth rate were more prominent in companies with lower degree of transparency. The above findings were not conclusive to prove whether or not venture capital directly increases the transparency level of its portfolio companies, but do insinuate the possibility of a negative impact on the transparency of its investee companies, as early IPO's were associated with less transparency. This is all the more persuasive as it was observed that companies with a lower level of transparency had generally raised more money from venture capitals, and that companies with a higher growth rate and/or higher PBR, have shown to be less transparent.

• Journal of Venture Innovation
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• v.7 no.1
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• pp.41-57
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• 2024

This study analyzed the relationship between the level of the venture environment, the benefits of the venture business verification system, internal capabilities, and management performance through the actual data of domestic venture companies collected in the Venture Business Precision Survey. As a result of the empirical analysis, the level of venture infrastructure did not affect the company's capabilities, but it was found that the venture company confirmation system had a positive effect. In the case of corporate competency, it was found that it had a positive effect on technological performance, but had no effect on sales performance. However, the research results confirmed that internal competency mediates the relationship between the venture environment level and the benefits of the venture business confirmation system and business performance. This study has the implications of confirming a series of processes leading to competency and performance in the environment using data from actual venture companies, and confirming the importance of corporate competency. In addition, since we confirmed the effect of the environmental factors of the venture environment level and the venture business confirmation system on the internal performance, if the process is introduced in the later reorganized venture business confirmation system, we will examine the factors that can enhance the performance of venture businesses. A more precise check is expected.

• Journal of Venture Innovation
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• v.6 no.3
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• pp.61-72
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• 2023

In December 2020, the Fair Trade Act related to South Korea's separation of industrial capital was amended, and it was announced that the amendments would come into effect one year later, on December 30, 2021. The amendment's content involved breaking the previous principle of separating industrial capital from financial market penetration, allowing for the ownership of shares in general holding companies, small business startup investment companies, and technology business finance specialist companies. While the previous law was based on total issued shares' ownership, there were fluctuations in the subsequent trends of annual establishment and investment counts, as well as strategic investment counts of CVC (Corporate Venture Capital) before and after the law's amendment. CVC and IVC (Independent Venture Capital) are characterized differently based on their investment purposes, fund management types, and investment types. In this regard, the relaxation of the separation of industrial capital law is expected to have a positive impact on the future of the venture investment ecosystem and innovation ecosystem. In this study, we analyze the trends in the establishment count, investment count, and strategic investment count of domestic CVC from 2018, before the law amendment, to May 2023. Using 2021, the year the amended separation of industrial capital law was implemented, as a reference point, we examine changes in the trend. The analysis results indicate a significant increase in domestic CVC in 2021 compared to the previous year, along with an increase in investment counts, strategic investment counts, and the amount of investment in strategic investments. Based on these findings, this study suggests directions for further research related to future domestic CVC investment, strategic investment, and the activation of the venture investment market.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.10 no.2
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• pp.135-142
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• 2015

This paper analyzed the effects of changes in temporary workers on firm performances, and the effects of different workforce portions of business functions on corporate performances, respectively, using Korean venture business survey conduected in 2013. Results show that the performance of venture businesses decreases significantly, as the portion of temporary workers increases, which is more pronounced in small companies than in medium companies. In addition, the portions of workforce for administration, R&D, production, and sales don't have uniform effect on firm performance, where medium companies are affected significantly by the portions of production and sales, while small companies do not show significant relationship. This analysis implies that innovative firms, based on knowledge workers, need to use caution when they plan to increase temporary workers, which may lead to lower performance. However, we need further research for the basic causes of the possible lower performance.

• Journal of Technology Innovation
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• v.24 no.2
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• pp.143-175
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• 2016

In this study, we have analyzed the impact of firm, innovation and industry characteristics on firm's appropriation strategy focusing of the relative preference of patents and trade secrets by using the Korea Corporate Innovation Survey 2005, 2010 and 2014 data. According to the analysis results, companies with characteristics such as venture, high-technology industry, receipt of public R&D subsidies, performing product innovation, high R&D expenditure, prefer patents to trade secrets relatively. However, firm size and R&D cooperation did not have a statistically significant effect on the relative preference. This shows that policy on appropriation system considering the industry characteristics may be more effective. Companies in the industries with a high market concentration showed that trade secrets are preferred, especially these characteristic was distinctly in small and venture companies. This means that the increase in strategic patent applications of the incumbent firms is able to restrict the patent activities in small and venture companies. Because the excessive increase in strategic patents is likely to constrain the innovation activities of small and venture firms ultimately, policy initiatives to limit the abuse of strategic patent applications is required.

• Journal of Information Technology Services
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• v.12 no.3
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• pp.195-205
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• 2013

Global media companies like Sony, Fox, Vivendi, and Disney expand their activities aggressively to foreign markets. This paper seeks to find out their precise strategies to succeed in the global market. Our study focus on two companies Fox and Sony who manage successively in Korean market. Particularly, these two media companies launched in Korean market several channels, joint venture companies with Korean partners and have expanded.Korean channel in East asian countries.

• The Journal of the Korea Contents Association
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• v.12 no.10
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• pp.430-438
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• 2012

This study researches the correlation between the firm value, which can be represented as Tobin's Q in this paper, and other financial information. The research is based on the financial statistics of KOSDAQ-listed Venture manufactures, which is comprised of the venture businesses group and the general group. The multiple regression, the correlation test tool, shows the R&D expenditures and tangible assets have the positive relation with the firm value while training expenses and the return on assets have the negative one. More specifically, R&D expenditures and total assets have the affirmative relations with the firm value among the venture businesses, whereas tangible assets, advertising expenses, and training expenses have the negative ones. The positive correlation between total assets and the firm value of venture business, shows that the volume of intangible assets impacts on the firm value of venture businesses. It also reflects the features of venture businesses highly relying on the technology development. The results are summarized as follows: First, The R&D expenditures and firm value have been positively correlated in the KOSDAQ-listed companies. Second, total assets and firm value has the positive correlation in the venture businesses.

• 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.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.5 no.1
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• pp.45-67
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• 2010

On July 21st in 2005, People's Bank of China (PBOC) turned the currency peg against the U.S. dollar into managed currency system based on a basket of unnamed currencies under China's exchanged rate regime. This change means that China's enterprises are not free from currency fluctuations. The purpose of this study is to analyze the relations between Renminbi fluctuations in the floating exchange rate and financial results of venture companies. The process and outcomes of this study are as follows, First, in order to measure the financial results of venture companies, I choose venture companies in Shandong Province listed on the Shanghai Stock Exchange (SSE) at random and several quarter financial sheets according to safety ratios, profitability ratios, growth ratios, activity ratios. Second, I arrange the daily Renminbi exchange rate data announced from July 21st, 2005 to December 31st, 2008 by PBOC into the quarterly data. Third, in order to confirm the relations between Renminbi fluctuations and financial results of venture companies, I carry out Pearson's correlation analysis. As a result, the revaluation of the Chinese Renminbi has weakly negative effects on debt ratio, total assets turnover ratio and equity turnover ratio in statistics. But the revaluation of the Chinese Renminbi is not related to other financial index in statistics. The result of this study is that the revaluation of the Chinese Renminbi has little influence on the export and import of Chinese venture companies and certifies the fact that Chinese venture companies have much foreign currency assets. In addition to avoid the currency exposure risk, this study shows the effective method about currency exposure risk which adjusts proportion of Renminbi to foreign currency.

• 한국벤처창업학회:학술대회논문집
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• 2010.08a
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• pp.139-160
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• 2010

On July 21st in 2005, People's Bank of China (PBOC) turned the currency peg against the U.S. dollar into managed currency system based on a basket of unnamed currencies under China's exchanged rate regime. This change means that China's enterprises are not free from currency fluctuations. The purpose of this study is to analyze the relations between Renminbi fluctuations in the floating exchange rate and financial results of venture companies. The process and outcomes of this study are as follows, First, in order to measure the financial results of venture companies, I choose venture companies in Shandong Province listed on the Shanghai Stock Exchange (SSE) at random and several quarter financial sheets according to safety ratios, profitability ratios, growth ratios, activity ratios. Second, I arrange the daily Renminbi exchange rate data announced from July 21st, 2005 to December 31st, 2008 by PBOC into the quarterly data. Third, in order to confirm the relations between Renminbi fluctuations and financial results of venture companies, I carry out Pearson's correlation analysis. As a result, the revaluation of the Chinese Renminbi has weakly negative effects on debt ratio, total assets turnover ratio and equity turnover ratio in statistics. But the revaluation of the Chinese Renminbi is not related to other financial index in statistics. The result of this study is that the revaluation of the Chinese Renminbi has little influence on the export and import of Chinese venture companies and certifies the fact that Chinese venture companies have much foreign currency assets. In addition to avoid the currency exposure risk, this study shows the effective method about currency exposure risk which adjusts proportion of Renminbi to foreign currency.