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Mapping Risks Faced by Startup Investors: An Approach Based on the Apriori Algorithm

Author

Listed:
  • Claudio Roberto Silva Júnior

    (Department of Production Engineering and Systems, Universidade Federal de Santa Maria, Santa Maria 97105-900, Brazil)

  • Julio Cezar Mairesse Siluk

    (Department of Production Engineering and Systems, Universidade Federal de Santa Maria, Santa Maria 97105-900, Brazil)

  • Alvaro Luis Neuenfeldt-Júnior

    (Department of Production Engineering and Systems, Universidade Federal de Santa Maria, Santa Maria 97105-900, Brazil)

  • Matheus Binotto Francescatto

    (Department of Production Engineering and Systems, Universidade Federal de Santa Maria, Santa Maria 97105-900, Brazil)

  • Cláudia de Freitas Michelin

    (Department of Accounting Sciences, Universidade Federal de Santa Maria, Santa Maria 97105-900, Brazil)

Abstract

This article maps and verifies the dependence relation between risks faced by startup investors. Thus, a systematic review of 33 articles and a meta-analysis using the Apriori algorithm were used. We mapped 14 investment risks faced by startup investors, classifying them into four dimensions: external, internal, human, and capital. Furthermore, by using the Apriori algorithm, dependency relations between nine investment risks were observed. This research fills a gap related to the non-structuring of a holistic approach to the investment risks startup investors face. In addition, a comprehensive review of and a discussion about the relation between investment risks provides a theoretical foundation for startups’ investments based on analyzing the risks inherent to this activity.

Suggested Citation

  • Claudio Roberto Silva Júnior & Julio Cezar Mairesse Siluk & Alvaro Luis Neuenfeldt-Júnior & Matheus Binotto Francescatto & Cláudia de Freitas Michelin, 2023. "Mapping Risks Faced by Startup Investors: An Approach Based on the Apriori Algorithm," Risks, MDPI, vol. 11(10), pages 1-19, October.
    • Handle: RePEc:gam:jrisks:v:11:y:2023:i:10:p:177-:d:1258797
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    References listed on IDEAS

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    1. Marta Abelha & Sandra Fernandes & Diana Mesquita & Filipa Seabra & Ana Teresa Ferreira-Oliveira, 2020. "Graduate Employability and Competence Development in Higher Education—A Systematic Literature Review Using PRISMA," Sustainability, MDPI, vol. 12(15), pages 1-27, July.
    2. Rea, Robert H., 1989. "Factors affecting success and failure of seed capital/start-up negotiations," Journal of Business Venturing, Elsevier, vol. 4(2), pages 149-158, March.
    3. Mcconnell, Patrick, 2022. "The strategic risks facing start-ups in the financial sector," Journal of Risk Management in Financial Institutions, Henry Stewart Publications, vol. 15(2), pages 114-141, March.
    4. Carpentier, Cécile & Suret, Jean-Marc, 2015. "Angel group members' decision process and rejection criteria: A longitudinal analysis," Journal of Business Venturing, Elsevier, vol. 30(6), pages 808-821.
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