Venture capital investors are specialized financial intermediaries that provides funding for technological innovation … capital funding with a company's choice of innovation strategies. We employ a unique dataset of over 10,000 innovative Dutch … companies, some of which received venture financing. The data include detailed information on patent applications, innovation …

' signaling-driven investment, despite the risk of buying a bad innovation. We finally show at what point the presence of active …

direct equity investment to stimulate innovation that is appropriable by the investing firms. At the same time, CVC is also … paper, I analyze corporate venture capital (CVC) investment and innovation performance in the medical device industry. I … investing CVC is diminished if multiple CVCs (competitive CVCs) coinvest in the same startup firm. The suppression of innovation …

aggressive development of a basic innovation by better informed venture-backed firms is used as a signaling device to enhance the … sale price of the innovation. We then show that incumbents can undertake early, preemptive, acquisitions to prevent such … signaling driven overinvestment, despite the risk of buying a non-productive innovation. Therefore, to exist in equilibrium …

Established firms often face significant obstacles to innovation. As a solution, it has been suggested to form … monitored by their corporate sponsors, resulting in less favorable conditions for radical innovation …

Established firms often face significant obstacles to innovation. As a solution, it has been suggested to form … monitored by their corporate sponsors, resulting in less favorable conditions for radical innovation …

This paper documents that firms increasingly finance innovation with their stock of innovation, measured as patents. We … refer to this behavior as financing innovation with innovation. Drawing on patent collateral data from the US and China, we … US firms, (3) firms increase their borrowing and innovation activities once they start to engage in patent collateral. We …

new vis-à-vis incumbent firms. In particular, we focus on how the intensity of innovation in each industry affects firm …

This paper reviews the literature on the role of public equity markets in the innovation ecosystem. The review … paper discusses the potential shortcomings of public equity markets that may hinder innovation, and highlights various …