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The evolution of initial co-investment syndications in an emerging venture capital market

Published on Sep 1, 2016in Journal of International Management2.83
· DOI :10.1016/j.intman.2016.03.006
Susanna Khavul14
Estimated H-index: 14
(UTA: University of Texas at Arlington),
David L. Deeds26
Estimated H-index: 26
(University of St. Thomas (Minnesota))
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Abstract
Prior research highlights the importance of co-investments among foreign and domestic investors in an emerging VC market. Yet, the question of how domestic and foreign VC syndicate partners select each other for their initial co-investment remains an open one. The question is important because uncertainty in emerging markets exposes participants to risks associated with higher levels of agency, problems of adverse selection, and potential opportunism. Building on agency theory, we hypothesize and test the risk mitigating effects of economic and social signals on the choice of initial co-investment ties among domestic and foreign VCs in an emerging market. Our work has implications for international management research, the practice of international VC investing, and public policy that tries to stimulate venture driven ecosystems.
  • References (54)
  • Citations (4)
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References54
Newest
#1Jose Maria Liberti (NU: Northwestern University)H-Index: 8
#2Mitchell A. Petersen (NU: Northwestern University)H-Index: 25
#1Yael V. Hochberg (MIT: Massachusetts Institute of Technology)H-Index: 13
#2Laura Anne Lindsey (ASU: Arizona State University)H-Index: 8
Last.Mark M. Westerfield (UW: University of Washington)H-Index: 10
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#1Emily Cox Pahnke (UW: University of Washington)H-Index: 5
#2Rory McDonald (Harvard University)H-Index: 5
Last.Benjamin L. Hallen (UW: University of Washington)H-Index: 7
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#1Yasuhiro Yamakawa (Babson College)H-Index: 8
#2Susanna Khavul (UTA: University of Texas at Arlington)H-Index: 14
Last.David L. Deeds (University of St. Thomas (Minnesota))H-Index: 26
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#1Na Dai (University at Albany, SUNY)H-Index: 13
#2Hoje Jo (Santa Clara University)H-Index: 1
Last.Sul Kassicieh (UNM: University of New Mexico)H-Index: 6
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