Research On The Impact Of Government Venture Capital On Ventures’ Innovation And IPO

The growth of innovative ventures can bring huge benefits to economic and social development,such as climate-neutral green industrial layout,sustainable development of the blue ocean economy,a wider range of digital industries,effective new markets created by R&D,and employment increase and so on.The economic growth gap between countries is also mainly manifested in the value contribution of innovative ventures to the economy.However,there are partial failures in the capital supply market that can promote the growth of innovative ventures.In order to correct the problem and achieve the goal of high-quality development,it requires the participation of government’s "visible hand".Therefore,the participation of government venture capital has an important contractual mission:to make up for the Macmillan equity capital gap caused by financing constraints on innovative ventures,to cultivate the innovative and entrepreneurial investment market,to promote the innovation of ventures,and to promote the growth of innovative ventures.Based on the above-mentioned relationship between government venture capital and innovative ventures,it is urgent to answer several questions:Does government venture capital enhance the innovation level of entrepreneurial enterprises?If there is an improvement,what is the path of influence?Are there any differences in the quantity and quality of the innovation level for the affected enterprises?If government venture capital can promote the innovation of ventures and thus improve the level of high-quality development of ventures,can they further promote the IPO of innovative ventures and thus achieve a complete enterprise growth chain?In terms of the strategic arrangements and results for the successful IPO of innovative ventures and the successful exit of government venture capital,is there any difference between the "Sci-tech Innovation Board" emerging capital market and the "Main Board" mature capital market?From the research perspective of innovative ventures’ growth,this paper constructs a"pyramid" theoretical analysis framework,which integrates the three levels of venture capital market related theories,management dimension related theories and economic ecology related theories,starting from the F-SCP economic paradigm theory to the new economic theory,relating the theories such as equity investment in innovation and entrepreneurship,species density,cherry-picking,smile curve,and resource-based.And the overall research framework of"GVC-structure-behavior-performance" explores the specific impact of government venture capital on innovation,"Sci-tech Innovation Board IPO" and "Main Board IPO".And the representative cases analysis about the GVC impact on the enterprises comprehensive growth,which responses to the common analysis in empirical research,provides the specific evidence for the main research of this paper,that is "promising government-effective market-successful enterprise".Finally this paper proposes reasonable suggestions.This paper mainly includes four parts or eight chapters:Part one includes concept definition,literature review,theoretical basis and practical status,which corresponds to chapters 1-3 in the paper.Among them,the basic conceptual connotation and empirical research connotation of government venture capital are defined,the research literature of government venture capital’s impact on innovative ventures is reviewed in detail,and then the related theories are explained in detail,so as to provide a theoretical and practical basis for the empirical tests and case study later.Part two includes three aspects of empirical analysis,which corresponds to chapters 4-6 in the paper.Based on the theoretical analysis,starting from the attribute characteristics of government venture capital’s participation in investment,joint investment,and shares ratio,it verifies the impact of government venture capital on the innovation level of innovative ventures,"Sci-tech Innovation Board IPO" and "Main Board IPO".Among them,the technological innovation T value calculated from five kinds of intellectual properties,the substantive innovation level formed by invention patents,and the strategic innovation level formed by non-invention patents are used to measure the "enterprises innovation level";and then innovative ventures listing on "Sci-tech Innovation Board IPO" or "Main Board IPO" are used to evaluate the listing tendency in emerging capital markets or mature capital markets of innovative ventures supported by government venture capital investment companies,so as to systematically analyze the growth performance of innovative ventures from growth ability to growth effect.The specific technical research path is as follows:First,to verify the impact of government venture capital on the innovation level of enterprises,"Sci-tech Innovation Board IPO" and "Main Board IPO",the OLS regression method and the Cox proportional hazard regression method are used.Secondly,in the robustness tests,the methods such as negative binomial regression,PSM matching sample regression,Logit regression,Probit regression,Weibull regression and Gompertz regression are used.Then,in the control of endogenous problems,the Heckman two-stage regression method is used.In addition,in order to further study the influence of international patent holding and foreign shareholding on the main hypothesis,the sub-group regression tests are carried out.In the extended research,the stepwise regression method and the Sobel intermediary effect test method are used to determine:whether government venture capital can improve the innovation level of enterprises through mechanisms such as alleviating financing constraints,increasing government-related resource endowments,increasing R&D investment and innovation willingness,and increasing the proportion of R&D personnel;and whether government venture capital can reduce the level of IPO underpricing through the mechanisms such as increasing government-related resource endowments,increasing financial leverage,and increasing the enterprise scale.Part three is a representative case study,which corresponds to Chapter 7 in the paper.According to the factor analysis method,this part calculates the comprehensive growth score of the enterprises through the innovation and financial indicators which can reflect the growth of innovative ventures,and then uses the score to explore the growth of the ventures by introducing a case of high reputation GVC company,that is "Shenzhen Capital Group Corporation".Part four summarizes the research conclusions and puts forward suggestions,which corresponds to Chapter 8.On the basis of theoretical analysis,empirical research and case studies,the specific suggestions are made from the level of government policy,market development and ventures growth.Among them,the conclusions are drawn as follows:First,the impact of government venture capital on the innovation level of ventures.The participation of government venture capital investment and joint investment has a significant positive impact on the technological innovation volume and substantive innovation level,but has no significant impact on strategic innovation level;the proportion of government venture capital holdings ratio has a more significant impact on substantive innovation,and has no significant impact on the technological innovation volume and strategic innovation level,which indicates that the participation investment of government venture capital in the promotion of ventures innovation level is of greater significance.In addition,government venture capital can improve innovation output performance by alleviating ventures financing constraints and increasing government subsidy resources,and exerts the "increase effect of innovation resource endowment",which confirms that government venture capital is mainly to bridge the innovation capital market to promote innovative output,but the significance of playing an active shareholder role is not obvious.Second,the IPO listing of GVC companies.By using the Cox proportional model,adding time characteristics to the listing event of the explained variable "Sci-tech Innovation Board IPO" or "Main Board IPO",it is found that whether it is in emerging capital markets or mature capital markets,government venture capital has a negative impact on the IPO of innovative ventures.The IPO underpricing and post-IPO operating performance of listed companies are further verified,and the conclusions are consistent.This shows that government venture capital failed to significantly reduce the degree of information asymmetry when ventures are listed in IPO,which in turn affects the market value.of shareholders and ventures.If it is a joint investment form of government venture capital,this adverse impact will be reduced.Third,the role of government venture capital in the comprehensive growth of innovative ventures.Through the analysis of typical cases of "Shenzhen Capital Group Corporation",it is found that government venture capital presents the characteristics of industrial and geographical agglomeration,and high-reputation government venture capital institutions can play a certification role and convey the investment value of innovative ventures to the market.The possible innovations of this paper in terms of theory,data,content,and methods are as follows:First,in terms of theoretical analysis and expansion,it fully considers the relevant theories about the impact of government venture capital on micro-enterprises,and divides three dimensions into twelve specific theories for the analysis of the research problem.Secondly,in terms of the expansion of data research content,through manual collection and multiple database searches,the research data before the listing of enterprises applying for the Sci-tech Innovation Board is obtained.So the feasibility study data of government venture capital and corresponding micro-enterprises have been added.Third,in terms of the expansion of the empirical research content,the "venture capital" research has been extended to the subdivision level of the"government venture capital" research,thus enriching the relevant research.Finally,in terms of research method expansion,the literature research method is based on the government attribute characteristics of government venture capital and from the international research perspective,the quantitative analysis is carried out using bibliometrics,knowledge graphs and qualitative analysis.And then more specific research questions are proposed in the empirical research method,because Cox is used.The advantage of the Cox proportional model is that it can add time characteristics to the explained variables,thus making the conclusions more comprehensive.