Strategic Choice Of Venture Capital Institutions And Corporate Control

In recent years,venture capital industry has developed rapidly in our country,venture capital investment in support of small and medium-sized enterprises and high-tech industry development in our country play an important role in the process.In the new normal and innovation-driven strategy under the background of the future,there will be more high-tech enterprises,and gradually become the economic development of the power source.Venture capital institutions,with its sufficient financial strength and professional operational ability forms the powerful support of high-tech enterprises.There are uncertainty and high investment risks,which are the root causes of risk control of enterprise.In order to maintain their own interests,venture capital institutions will choose to take some investment strategies so as to affect the corporate control configuration.Like a double-edged sword,introducing risk investment enterprises to introduce risk investment must assign a stake and control of risk investment institutions to help enterprises in the process of entrepreneurship has increased the bargaining power,in the subsequent financing negotiations again,entrepreneurs may force risk investment agencies concessions in some interest.In the process of risk investment,risk investment institutions how to use such rights investment strategy,founder of the enterprise how to control risk status is very important,directly relates to the success or failure of enterprise risk.Based on the case of Alibaba,venture capital investment strategy as the breakthrough point,studies its influence to corporate control mechanism and how to configure the control.Based on the theory of control rights and the principal-agent theory,the author reveals the motivation of the venture capital institutions and the founder of venture enterprise.Using the theory of human capital to reveal the importance of the founder's authority and the control of the founder and his team.Based on the previous literature,this paper summarizes and perfects the venture capital strategy,and analyzes its influence on the control right to form the theoretical basis of case analysis and combined with the case study is given priority to with Softbank and Yahoo investors of risk taken by the investment strategy,and the resulting changes in the control of Alibaba and Ma Yun's entrepreneurial teams headed by the specific process of control of the game.Finally,the control of the economic consequences of a game is analyzed.In this paper,based on the theoretical analysis and case analysis,it is concluded that the risk of the different nature of venture capital institutions will affect the choice of investment strategy,and thus a different impact on corporate control.Due to the existence of the founder of authority and the risk of enterprise human capital particularity,founder in control,more conducive to maximizing the interests of stakeholders.In order to avoid the risk of losing control power,founder of venture enterprises should notice to control power,venture capital institutions devote to his duty,respect for authority aim to create a win-win situation.