Risk Investment System Innovation Theory

The main factor of blocking the development of venture capital in China is short of the market system of VC, which gives expression to the weakness of structure, the shortcoming of system and the lack of laws and regulations policies, etc., including inappropriatly locating the role of government, no relative laws and supporting policies for the industry of venture capital and lack of the effective exit mechanism. With the study for the features and operating theories of venture capital and the comparison of the supporting system of venture capital market in the world, the paper holds a standpoint that the key to set up the market system depends on the innovation of venture capital. Furtherly, the paper raises some views and suggestions how to build the market system of VC in China, which may be beneficial to the development of Chinese venture capital.