A Comprehensive Analysis of Venture Capital Double Game

DOI

10.2991/icmess-17.2017.21How to use a DOI?

Keywords

venture capital; game model; moral hazard

Abstract

This study aims to search for the strategy basis and influencing factors of investors, venture capitalists and entrepreneurs in venture capital, so as to promote the healthy development of the venture capital industry through corresponding institutional arrangements. We make a comprehensive game model between investors, venture capitalists and entrepreneurs to specifically analyze the strategies and game results of them. Investors, venture capitalists and entrepreneurs' strategy choice directly influence the efficiency of venture capital operation and the development of venture capital industry. The study obtains the game solution under different situations, and finds out the main influencing factors as follows: the environmental factor, the capacity of VC and VE, the moral quality of VC and VE, the revenue ratio, the share dividend ratio, the supervision strength, the punishment strength and the enforcement strength, the reputation mechanism and so on. We propose changing the value of the major factors through institutional arrangements to optimize game results.

Copyright

© 2017, the Authors. Published by Atlantis Press.

Open Access

This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

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TY  - CONF
AU  - Jixia Xiong
AU  - Yanxia Lyu
AU  - Tengfei Huang
PY  - 2017/06
DA  - 2017/06
TI  - A Comprehensive Analysis of Venture Capital Double Game
BT  - Proceedings of the 2017 International Conference on Management, Education and Social Science (ICMESS 2017)
PB  - Atlantis Press
SP  - 88
EP  - 92
SN  - 2352-5398
UR  - https://doi.org/10.2991/icmess-17.2017.21
DO  - 10.2991/icmess-17.2017.21
ID  - Xiong2017/06
ER  -