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Venture Capital Investments In Emerging Economies: An Empirical Analysis

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  • MEDHI SALEHIZADEH

    (Department of Finance, College of Business Administration, San Diego State University, San Diego, CA 92182-8236, USA)

Abstract

In the international arena an increasing number of entrepreneurs and venture capitalists have succeeded, yielding both micro-level financial rewards and macro-level prosperity and improved economic conditions for many industrialized countries. The next logical "group," with a potential to reap such benefits, is expected to be the emerging economies. This study tabulates and analyzes an emerging market VC-investment dataset, and then identifying and testing a number of independent economic and financial factors that explain such investments for a selected group of emerging countries. Based on 1990-2003 data covering 19 nations, the regression results show four of the five proposed variables, namely GDP per capita, long-term capital inflows, stock market listings, and a measure of stock market correlations, to be significant in explaining VC investments.

Suggested Citation

  • Medhi Salehizadeh, 2005. "Venture Capital Investments In Emerging Economies: An Empirical Analysis," Journal of Developmental Entrepreneurship (JDE), World Scientific Publishing Co. Pte. Ltd., vol. 10(03), pages 253-269.
    • Handle: RePEc:wsi:jdexxx:v:10:y:2005:i:03:n:s1084946705000203
    DOI: 10.1142/S1084946705000203
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    References listed on IDEAS

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    Cited by:

    1. Gianluca Gucciardi, 2024. "Do venture capital investments contribute to the achievement of the sustainable development goals?," Business Strategy and the Environment, Wiley Blackwell, vol. 33(8), pages 8716-8746, December.
    2. Herrera-Echeverri Hernán & Haar Jerry & Estevez-Bretón Juan Benavides, 2014. "Foreign Investment, Institutional Quality, Public Expenditure, and Activity of Venture Capital Funds in Emerging Market Countries," Global Economy Journal, De Gruyter, vol. 14(2), pages 127-162, April.
    3. Kiss, Andreea N. & Danis, Wade M. & Cavusgil, S. Tamer, 2012. "International entrepreneurship research in emerging economies: A critical review and research agenda," Journal of Business Venturing, Elsevier, vol. 27(2), pages 266-290.
    4. Unutmaz Durmuşoğlu, Zeynep Didem, 2018. "Assessment of techno-entrepreneurship projects by using Analytical Hierarchy Process (AHP)," Technology in Society, Elsevier, vol. 54(C), pages 41-46.

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