Research On The Influence Of Venture Capital Institutions’ Equity Proportion On The Technological Innovation Performance Of Start-up Enterprises

Venture capital is of great significance to the innovative development of startups and the enhancement of national core competitiveness.And it is an important support to achieve“innovation-driven and scientific take-off”.Under the background of“mass entrepreneurship and innovation”,the Chinese government encourages the high-quality development of innovation,and encourages venture capital to boost the innovation of startups.How to give better play to the advantages of venture capital and improve the technological innovation performance of startups is an important research direction in line with the current realistic background.Based on the regression analysis of the data of all the listed companies on the Growth Enterprise Market(GEM)supported by venture capital from 2012 to 2019,the research attempts to explore the mechanism of its influence on the startups’ technological innovation performance from the perspective of venture capital institutions’ equity proportion,and provide new empirical evidence for venture capital and enterprise innovation development.This paper mainly focuses on two questions:(1)How does venture capital institutions’ equity proportion affect the startups’ technological innovation performance,and whether there is difference when it comes to different types of venture capital institutions.(2)Whether the technological similarity and technological complementarity between venture capital partners will have a moderating effect on the relationship between venture capital institutions’ equity proportion and startups’ technological innovation performance.Based on the theory of individual name motivation,moral hazard theory,portfolio theory,organizational learning theory and other theoretical foundations,as well as the empirical analysis of the data of GEM listed companies,and after robustness tests of PSM propensity score matching,substitution variables,and changing sample size,we draw the following conclusions: there is a negative correlation between venture capital institutions’ equity proportion and startups’ technological innovation performance.And there is no significant difference when it comes to different types of venture capital institutions.Further considering the technological characteristics between venture capital partners,it is found that when there is technological similarity or technological complementarity between venture capital partners,the negative impact on startups’ technological innovation performance will be weakened.Based on this,this paper puts forward relevant suggestions on how to give full play to the advantages of venture capital and promote the long-term development of innovation and entrepreneurship from the three levels of venture capital institutions and investment enterprises,new ventures and the gove5 rnment,in order to provide new ideas for the development of venture capital and financing management of new ventures.