The Internal Behavior Study Of Syndication

The importance of venture capital has been enhanced when the high technology and new business models become the key factors to drive a country's economy. However, venture capital takes the risk of market acceptance, project exit or listing as well as its high profit. So, what venture capitalists concern most about is how to reduce project risk in the premise of guaranteed profits, while, syndication is the most common strategy. At present, scholars both home and abroad mainly study the syndication as a whole, this article will analyze the behavior of venture capitals in syndication from three aspects: the motives, partner selection and project management. This article will use mathematical analysis, empirical analysis and game analysis to draw relevant conclusions: the more resources and investment opportunities is main incentive; reputation, team compatibility,market and social networks complementary is the main consideration to select partners; mutual trust and co-management is the best cooperation strategy in project management.