University of Twente Student Theses
Experience of venture capitalists influence the decision-making criteria
Kooiker, J.A.M. (2024) Experience of venture capitalists influence the decision-making criteria.
|
PDF
1MB |
| Abstract: | This study focuses on understanding how different types of prior experience shape VCs' decision-making criteria during the screening stage, particularly in the assessment of Product/Service, Market Competitiveness, Financial Performance, and Management Team criteria. This research aims to address a gap in understanding the relationship by examining how Industrial Market experience, Top Management experience, and Entrepreneurial experiences influence the weighting of decision criteria. Specifically, it examines the differences between investors with experience and those with no prior experience. Drawing upon cognitive schemas theory and signaling theory, this study aims to explore how investors assess signals and how experience influences the decision-making process. The study reveals that Industrial Market experience and Top Management experience significantly influence decision criteria during deal screenings. Surprisingly, Entrepreneurial experience shows no significant difference in decision-making, challenging existing assumptions. Looking at the Industrial Market experience, the experienced group gives more importance to the Product/Service criteria and Financial Performance criteria compared to non-experienced investors. With Top Management experience, the experienced group places greater emphasis on Financial Performance and the Management Team than the non-experienced group. The Top Management experience on Market Competitiveness criteria, the non-experienced group assigns more importance than the experienced group. The differences are significant. |
| Item Type: | Essay (Master) |
| Faculty: | BMS: Behavioural, Management and Social Sciences |
| Subject: | 85 business administration, organizational science |
| Programme: | Business Administration MSc (60644) |
| Link to this item: | https://purl.utwente.nl/essays/98662 |
| Export this item as: | BibTeX EndNote HTML Citation Reference Manager |
Show download statistics for this publication
Show download statistics for this publicationRepository Staff Only: item control page