The Study On The Behavior And Performance Of Government Venture Capital In China

After more than 20 years of development, by now venture capital in China is still in the preliminary phase with little progresses. Compared to developed venture capital in America and Israel, venture capital in China still has a large gap in terms of numbers of VC organizations, scope and numbers of invested small and medium-sized enterprises whatsoever. So it is worth to study the behavior and performance of government VCs in China as the Chinese government plays a leading role in venture capital.First the dissertation discusses the Government's motives to supporting venture capital and the international comparison on government's supporting. Than follows the evolution of Chinese government's participating in the venture capital process. On the basis of previous context, I make the empirical analysis focused on the relationship between behavior and performance of the Chinese government venture capital institutions. I put out 7 hypotheses and than make a multiple regression to empirically investigate the above 7 influencing factors. The results suggest that the following factors have a significant impact on the government VC performance: the age, the location, the dispersion of target industry, investment stage performance, cooperation with private and foreign venture capital.