A Prisoner's Dilemma approach to entrepreneur-venture capitalist relationships
Article Abstract:
New business startups with venture capital backing depend on mutual cooperation between entrepreneurs and venture capitalists, but little is known about what makes these relationships work. The present article considers the implicit similarities between entrepreneur-venture capitalist relationships and the Prisoner's Dilemma framework, using this paradigm to develop a conceptual model of entrepreneurs' and venture capitalists' decisions to cooperate. The model is used to generate a number of testable propositions concerning long-term cooperation between entrepreneurs and venture capitalists. Implications of the model for researchers, entrepreneurs, and venture capitalists are discussed, and the paper concludes by examining implications of the entrepreneur-venture capitalist context for the traditional Prisoner's Dilemma framework. (Reprinted by permission of the publisher.)
Publication Name: Academy of Management Review
Subject: Business, general
ISSN: 0363-7425
Year: 1997
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Venture capitalists' assessment of new venture survival
Article Abstract:
A study investigated a number of theoretical and analytical methodology constraints of previous research on venture capitalists' decision making. In particular, the analysis concentrated on determining whether the 'in-use' assessment policies of venture capitalists with respect to the survival of new business ventures are in line with those proposed in published research based primarily on the perspective of industrial organizational strategy. One major finding of the study is that venture capitalists' evaluation policies are predominantly consistent with those proposed by organizational strategy theorists. Such consistency offers a chance to use established theories to better understand why venture capitalists consider certain criteria in their estimates of new venture survival and why some factors are more significant in their analysis than others.
Publication Name: Management Science
Subject: Business, general
ISSN: 0025-1909
Year: 1999
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A Process Model of Individual Career Decision Making
Article Abstract:
A descriptive model of career decision making is developed. Existing research findings are integrated into the model. Ten propositions summarize the empirically testable model components. A situation and process generating problem recognition is described. This leads to formulating a change strategy. An information search may clarify the problem and identify alternate solutions. A transition process is necessary for formulating and carrying out implementational plans. Future research topics are suggested.
Publication Name: Academy of Management Review
Subject: Business, general
ISSN: 0363-7425
Year: 1984
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