Back
 AJIBM  Vol.9 No.2 , February 2019
The Relationship between Reputation and Behavior of Venture Capital Institutions under the Theory of Information Asymmetry
Abstract: With the rapid development of the mobile terminal, the investment around the mobile terminal has stimulated the investment of venture capital institutions to a large extent, and the research on venture capital has been increasing in recent years. Based on asymmetric information theory, to understand the behavior of venture capital from the perspective of reputation, game model, a venture capital and start-ups as well as numerous trade once earnings analysis, the venture capital firm focused on conditions for building a good reputation, and believed that the increase in the number of expected future transactions was an incentive for venture capital institutions to maintain a good reputation.
Cite this paper: Zhu, Q. (2019) The Relationship between Reputation and Behavior of Venture Capital Institutions under the Theory of Information Asymmetry. American Journal of Industrial and Business Management, 9, 315-324. doi: 10.4236/ajibm.2019.92021.
References

[1]   McKinsey (2017) China in the Digital Age: Building a Globally Competitive New Economy.
http://www.sohu.com/a/209620462_631360

[2]   Chinese Entrepreneur Survey System (2011) Capital Market and Chinese Entrepreneur Growth: Current Situation and Future, Problems and Suggestions—2011 Special Report on Chinese Business Operator Growth and Development. Management World, 6, 76-90.

[3]   Tian, X., Udell, G.F. and Yu, X. (2016) Disciplining Delegated Monitors: When Venture Capitalists Fail to Prevent Fraud by Their IPO Firms. Journal of Accounting and Economics, 61, 526-544.
https://doi.org/10.1016/j.jacceco.2015.09.004

[4]   Gompers PA. (1996) Grandstanding in the Venture Capital Industry. Journal of Financial Economics, 42, 133-156.
https://doi.org/10.1016/0304-405X(96)00874-4

[5]   Hsu, D.H. (2004) What Do Entrepreneurs Pay for Venture Capital Affiliation? The Journal of Finance, 59, 1805-1844.
https://doi.org/10.1111/j.1540-6261.2004.00680.x

[6]   Lee, P.M. and Wahal, S. (2004) Grandstanding, Certification and the Underpricing of Venture Backed IPOs. Journal of Financial Economics, 73, 375-407.
https://doi.org/10.1016/j.jfineco.2003.09.003

[7]   Nahata, R. (2008) Venture Capital Reputation and Investment Performance. Journal of Financial Economics, 90, 127-151.
https://doi.org/10.1016/j.jfineco.2007.11.008

[8]   Ye, X.J. and Shen, W.T. (2013) Venture Capital Reputation, Joint Investment and Successful Exit. Journal of Shanxi University of Finance and Economics, 12, 46-55.

[9]   Gompers, P.A. and Xuan, Y. (2009) Bridge Building in Venture Capital-Backed Acquisitions. Harvard Business School, Boston.

[10]   Wu, C.P., Wu, S.N., Cheng, J.Y. and Wang, W. (2012) An Empirical Study on the Impact of Venture Capital on Investment and Financing Behavior of Listed Companies. Economic Research, 1, 105-119, 160.

[11]   Zhao, W. and Wen, J. (2015) Can Venture Capital Interventions Improve the Performance of Strategic Emerging Industries? Industrial Economics Research, 3, 79-89.

[12]   Krishnan, C.N.V., Ivanov, V.I., Masulis, R.W. and Singh, A.K. (2011) Venture Capital Reputation, Post-IPO Performance and Corporate Governance. Journal of Financial and Quantitative Analysis, 46, 1295-1333.
https://doi.org/10.1017/S0022109011000251

[13]   Shu, P.G., Yeh, Y.H., Chiu, S.B., et al. (2011) The Reputation Effect of Venture Capital. Review of Quantitative Finance and Accounting, 36, 533-554.
https://doi.org/10.1007/s11156-010-0188-x

[14]   Gompers, P.A. and Lerner, J. (1999) What Drives Venture Capital Fund Raising. Brookings Papers on Economic Activity: Microeconomics.

[15]   Chen, G.M. and Yu, Y. (2011) Kou Xiang River Impact on Chinese Enterprises IPO Discount of Venture Capital Participation—To Compare the Stock Market. Economic Research, 5, 74-85.

[16]   Petkova, A., Wadhwa, A., Yao, X. and Jain, S. (2014) Reputation and Decision Making Under Ambiguity: A Study of US Venture Capital Firms’ Investments in the Emerging Clean Energy Sector. Academy of Management Journal, 57, 1077-1093.
https://doi.org/10.5465/amj.2011.0651

[17]   Lee, P.M., Pollock, T.G. and Jin, K. (2011) The Contingent Value of Venture Capitalist Reputation. Strategic Organization, 9, 33-69.
https://doi.org/10.1177/1476127011400505

[18]   Megginson, WL and Kathleen, AM. (1991) Venture Capitalist Certification in Initial Public Offerings. Journal of Finance, 46, 879-903.
https://doi.org/10.1111/j.1540-6261.1991.tb03770.x

[19]   Zheng, X.J. (2010) Research on the Impact of the Reputation of Chinese Listed Companies on Corporate Performance. Economic Science Press, Beijing.

[20]   Zheng, X.T. (2015) Research on the Influence Mechanism of the Reputation of Venture Capital Institutions on Investment Behavior. PhD Thesis, Zhejiang Gongshang University, Hangzhou.

 
 
Top