Explores theeffects of a legal system onthe exit from venture capital investments.Data were collected from 468venture-backed companies spanning twelve different Asia-Pacific countries thatoperated in the years between 1989 and 2001.Of these companies, 78exited by an initial public offering...

This paper examines cross-country evidence on the duration of venture capital (VC) investment. We formulate a theory of VC investment duration based on the idea that venture capitalists exit when the expected marginal cost of maintaining the investment is greater than the expected marginal...