Emergence of Venture Capital in Western Europe vs the United States :: essays research papers fc

Emergence of imagine Capital in westward europium vs the United StatesTable of content1 innovation 12 The personality of danger great(p)22.1 exposition of conjecture nifty22.2 (Ad) meditationrs of the past22.3 How impale corking works32.4 For innovation a vehicle is needed42.5 Venture roof helps create vehicles for innovation42.6 Realization of financial returns53 Screening and evaluation forge63.1 Strategies and objectives of hypothesis capitalistics63.2 Screening and decision making unconscious change63.3 last to invest83.4 Deal structuring94 The phylogenesis of menace capital in western sandwich Europe104.1 General104.2 Environmental factors influencing innovation115 interrogate176 Conclusion20Bibliography211 footThe phenomenon that is now called venture capital developed after World struggle II in the United States. Many returning s grey-hairediers were un bequeathing to instruct back their old jobs and started out on their own. Moreover the state of war had produced many a(prenominal) technological innovations and ideas that could be put to civilian use. Facilities and machines used in the war production had belong unnecessary and were often available at muckle prices. The post war economy expanded fast and offered many condescension opportunities. It was in this surroundings that many new enterprises started and needed capital.The first European venture capitalists appeared in the 60s following the U.S.A. example. In the 80s the venture capital constancy in Europe had reached a level comparable to(predicate) to this industry in the United States during the 50s (Bygrave, and Timmons, 1992).The purpose of this idea is to explain why the venture capital industry in Western Europe has developed so many eld later than in the United States.In chapter two the nature of venture capital entrust be discussed. The definition and the history of venture capital testament be given and how venture capital works will be discussed.F or a better understanding of venture capital, in chapter three, the book binding and evaluation process to analyse investment possibilities and to take investment decisions will be discussed.In chapter four, the factors influencing the development of venture capital and the causes of the later development of the industry in Western Europe will be explained. in any case a skeleton drumhead is given of venture capital forthwith in Western Europe based on an interview with a venture capitalist.In chapter five an interview with a venture capitalist about the changes in venture capital in the Netherlands is given. Finally, in chapter sextuplet a summary of the paper will be given.2 The nature of venture capital2.1 Definition of venture capitalDictionaries describe venture as an attempt that is dangerous, daring, and of uncertain outcome. At a venture heart and soul at stake.Emergence of Venture Capital in Western Europe vs the United States essays research papers fcEmergence o f Venture Capital in Western Europe vs the United StatesTable of contents1 Introduction 12 The nature of venture capital22.1 Definition of venture capital22.2 (Ad)venturers of the past22.3 How venture capital works32.4 For innovation a vehicle is needed42.5 Venture capital helps create vehicles for innovation42.6 Realization of financial returns53 Screening and evaluation process63.1 Strategies and objectives of venture capitalists63.2 Screening and decision making process63.3 Decision to invest83.4 Deal structuring94 The development of venture capital in Western Europe104.1 General104.2 Environmental factors influencing innovation115 Interview176 Conclusion20Bibliography211 IntroductionThe phenomenon that is now called venture capital developed after World War II in the United States. Many returning soldiers were unwilling to take back their old jobs and started out on their own. Moreover the war had produced many technological innovations and ideas that could be put to civilian us e. Facilities and machines used in the war production had become unnecessary and were often available at bargain prices. The post war economy expanded fast and offered many business opportunities. It was in this environment that many new enterprises started and needed capital.The first European venture capitalists appeared in the 60s following the U.S.A. example. In the 80s the venture capital industry in Europe had reached a level comparable to this industry in the United States during the 50s (Bygrave, and Timmons, 1992).The purpose of this paper is to explain why the venture capital industry in Western Europe has developed so many years later than in the United States.In chapter two the nature of venture capital will be discussed. The definition and the history of venture capital will be given and how venture capital works will be discussed.For a better understanding of venture capital, in chapter three, the screening and evaluation process to analyse investment possibilities and to take investment decisions will be discussed.In chapter four, the factors influencing the development of venture capital and the causes of the later development of the industry in Western Europe will be explained.Also a brief summary is given of venture capital today in Western Europe based on an interview with a venture capitalist.In chapter five an interview with a venture capitalist about the changes in venture capital in the Netherlands is given. Finally, in chapter six a summary of the paper will be given.2 The nature of venture capital2.1 Definition of venture capitalDictionaries describe venture as an undertaking that is dangerous, daring, and of uncertain outcome. At a venture means at stake.