| This study investigates cooperation and opportunism in interdependent relationships and, in particular, the influence of differing managerial time horizons on the collaborative behavior of interdependent parties. Interdependent relationships are a common aspect of business organizations and the attainment of business objectives frequently requires the combined efforts of people in different roles both within and external to the organization. The context for this study is the relationship between venture capital firms and the management of their portfolio companies. This context was selected two reasons. Firstly, venture capital provides money and expertise to help establish new ventures that are critical to the growth and development of the economy. Secondly, the success rate of venture capital investments is equivocal at best. Using survey data collected from CEOs of venture capital financed companies, I find a strong association between perceived alignment and differences in managerial time horizons and cooperative and opportunistic behavior. I also find evidence that perception of negative interdependence mediates the relationship between perceived differences in managerial time horizons and opportunistic behavior.;Keywords. Venture Capital, Entrepreneurship, Time Horizons, Cooperation, Opportunism... |
