Study On The Relationship Between Long-term Investment Of Venture Capital And Enterprise Technology Innovation And Dynamic Management

From a practical point of view,the role of venture capital in macroeconomic progress and the development of micro-enterprises,especially technological innovation,cannot be underestimated.Many scholars have confirmed the positive effects that venture investment has on technological innovation and,with further consideration,think that long-term shareholding,instead of short-term,venture capital is more beneficial for technological innovation.This paper uses single-case study method,analyzing the attitudes of the long-term and short-term venture capital investment and the impacts of their money supply,value-added services and supervision function on technological.It also discusses the different impacts that long-term venture capital investment with different background characteristics have on technological innovation in enterprises as well as the optimal dynamic conditional analysis to find out the paths of how long-term shareholding venture capital affects technological innovation path.The results show that the long-term shareholding venture capital is more beneficial for enterprises' technological innovation.First,long-term shareholding venture capital provides more support in terms of capital supply,value-added services and supervision,which in turn promote technological innovation.China-Singapore Suzhou Industrial Park and Infinity made long-term shareholding venture capital investment in China Wafer Level CSP.A large amount of capital has been invested when it was established.In terms of supervision and control,they actively participated in the board of directors and the majority attended the board meetings in person in order to supervise the management and control the agency costs of WLSP.Besides,they also provided diversified and high-quality value-added services to WLSP in time.Second,long-term shareholders of venture capital with different backgrounds make full use of their respective advantages and has positive effects on technological innovation.Foreign venture investment like Infinity has rich investment experience,rich resources of social network and professional investment teams and therefore offered many high quality value-added services such as technological research,development advisory services,marketing guidance services and recruiting services to WLSP.The advantage of venture investment with government backgrounds lies in the natural political connections,which can provide government support.Third,long-term shareholding venture capital investment helps enterprises make the best dynamic choice in terms of innovative management model.Faced with the change of industrial expertise and the uncertainty of technological innovation in WLSP,Infinity and Zhongxinchuangtou chose the dynamic management model,which is in accordance with the theory.Finally,corresponding suggestions are given at the government,corporate and venture capital level.