Venture capital fuels innovation strategies, shaping future corporate success.
Venture capital firms invest in companies to help them develop new technologies. A study looked at over 10,000 Dutch companies to see how venture capital affects their innovation strategies. Companies with venture capital funding focus on building their ability to learn new things by doing research in-house and also learning from outside sources. This is because venture capital firms want to see results within about five years. The study found that the link between venture capital funding and building up knowledge is not just a coincidence. This information can help companies and policymakers make better decisions.