The Studies Of Operation And Investment Decision-Making About Venture Capital

A synthetical evaluation model and a portfolio model were established by researches and analyses of the operational process and mechanism about Venture Capital, and three kinds of method of the Venture Capital decision-making were discussed in this paper to provide some theories and methods for the operation and management practice of Venture Capital company.This thesis was mainly constructed by two segments: the operational process and the analyses of decision-making about Venture Capital. Firstly, the conception of Venture Capital was expounded, the characteristics of Venture Capital were analyzed and the status of Venture Capital was pointed out. Then, the operational process of Venture Capital was studied in detail, including the start of raising money and selecting project, the infusion of the fund, the participation of the management of invested enterprise and the withdrawal of Venture Capital. The participation of the management of invested enterprise about Venture Capital company was the emphasis of this research. Moreover, the evaluation of the Venture Capital project was qualitatively presented in this segment.The analysis of investment decision-making about Venture Capital was the most central segment in this paper, and three kinds of investment decision-making method were well studied: (1) the immediate investment decision-making. The Venture Capital projects were evaluated and selected by establishing the synthetical evaluation model and the portfolio model on the basis of the combination of scientific principle and feasibility principle. (2) the deferred investment decision-making. Venture Capital was similar to the option in many fields, such as many risks, the deferred decision-making and the attention of the future benefits. (3) the termination investment decision-making. The progress of the Venture Capital project was traced, the information of market and technology was collected, and the developing directions of financing, technology and organization were monitored strictly, so more losses could be avoided by precise estimation and terminating the project in time for some projects with terrible prospects.E...