The Game Analysis Of Venture Capital

With the coming of the knowledge economy era and the push of the venture capital, the high tech industry, represented by IT, biotechnology, new material tech., and advanced manufacturing tech. ect., has been developing rapidly. Venture capitalist's support to the growth enterprises and the promotion to the development of the new economy have been approved and appreciated greatly by both the theoretical and practical circles. Due to the uncertainty of the initial enterprises'development, the entrepreneur chooses to utilize his own benefit to the outmost or to gain the investors'support under the condition of the unbalanced information, which, on the other hand, violates the investor's interests. It is the so called"moral hazard". However, more and more studies and practices show that the investing organizations have"moral hazard"as well. We can see that there is a"double moral hazard"between the entrepreneur and the venture capitalist. The dissertation focuses on how to design a reasonable and working contractual system, prevent the double moral hazard, and play the game to its Pareto optimality.On the basis of the abstract and theory of the game, the dissertation discusses the Game relation of the venture capital from the points of balanced information, unbalanced information, and multistage investment, ect.. In addition, it also deals with the analysis and research of the designation of the working contractual system with the study of the practical cases. The originalities of the dissertation are as follows:1. New perspective. Quite a number of abstracts, especially abstracts at home, in the research of the Game, concentrate mainly on entrepreneur's moral hazard and investor's precautions respectively. There is little study on the double moral hazard for both entrepreneur and venture capitalist. The study of the moral hazard on both sides will provide a certain theoretical guidance as to help entrepreneur get rid of the long-standing mistaken ideas of"powerful group"and remind investing organization to offer value-added services responsibly.