An Research On The Impact Of Venture Captital On GEM Listed Companies

Small and medium-sized enterprises are the most important groups of technological innovation in China,which play an important role in promoting the transformation of economic growth mode and the progress of science and technology.These small and medium-sized enterprises are often difficult to obtain loans from banks because of their size and credit problems,so they are faced with difficult financing problems.Venture capital,as a high-yield and high-risk investment activity,is an important financing channel for innovative small and medium-sized enterprises.Venture capital can not only solve finance problems for enterprises,but also help enterprises in strategic planning,management,system construction,technology and other resources.At present,the state has in-depth implemented the innovation-driven development strategy,the government has vigorously advocated "Mass entrepreneurship and innovation," and set up a a series of policies like making government venture capital guidance fund and tax incentives to actively support the development of venture capital institutions and innovative small and medium-sized enterprises.Therefore,it is of great practical significance to study the impact of venture capital on the performance of enterprises.GEM is the gathering place of high-tech enterprises and the main activity area of venture capital.Therefore,this paper analyzes the impact of venture capital on enterprise performance through theoretical and empirical analysis,taking gem enterprises as the research object.This paper summarizes the basic concepts and current situation of venture capital,summarizes and analyzes the relevant theories and the mechanism of the impact of venture capital on the performance of enterprises,and makes an empirical analysis of the data of venture capital companies on the gem.Through summarizing the existing research results,it is found that the theories related to the impact of venture capital on enterprise performance are mainly divided into two categories.One is that venture capital has the function of "certification supervision" on enterprises and has a positive impact on enterprise performance.On the other hand,the phenomenon of "Adverse selection " and "The Pursuit of Reputation" hypothesis exists in venture capital,which will have a negative impact on the performance of enterprises.In order to explore whether the impact of venture capital on enterprises is positive or negative,this paper collates the enterprise data of the GEM from 2015 to 2017,and divides the enterprise performance into three aspects include profitability,operation ability and development ability,the corresponding indexs:ROE,TAT,IRBR are selected as the explanatory variables,and venture capital is used as the explanatory variable.The control variables are selected from the XTmacro-economic level and the enterprise characteristic level,and established the multiple linear regression model.The empirical results show that venture capital has a negative correlation with the ROE,a negative correlation with the TAT,and a negative correlation with the IRBR.In view of this empirical result,this paper made a further study on the adverse selection problem and the influence of corporate governance structure,to explain the empirical results,and puts forward some suggestions for the government,venture capital institutions and small and medium-sized enterprises respectively.