Venture Capital’s Influence on Born Globals
(2023) IBUH19 20231Department of Business Administration
- Abstract
- The global business environment has changed rapidly during the past decades; part of that change is the concept of Born Globals. Small and emerging companies are deviating from the traditional globalisation models with incremental steps to internationalisation in favour of turning global from inception. When a Born Global firm acquires Venture Capital, new demands on efficiency and returns are set by the external investor, potentially affecting the dynamics and strategy within the firm.
This thesis aims to discover how Venture Capital contributes to Born Globals in an emerging growth phase and their internationalisation strategies. First, an in-depth review of the existing research is presented, concluding that Venture Capitalists... (More) - The global business environment has changed rapidly during the past decades; part of that change is the concept of Born Globals. Small and emerging companies are deviating from the traditional globalisation models with incremental steps to internationalisation in favour of turning global from inception. When a Born Global firm acquires Venture Capital, new demands on efficiency and returns are set by the external investor, potentially affecting the dynamics and strategy within the firm.
This thesis aims to discover how Venture Capital contributes to Born Globals in an emerging growth phase and their internationalisation strategies. First, an in-depth review of the existing research is presented, concluding that Venture Capitalists contribute to Born Globals by five mechanisms: provision of financial resources, management support, access to networks, reputation and credibility, and organisational culture.
Further, insights are gathered through a multiple-case study of four Born Globals from Lund. This study indicates that Venture Capital contributes to Born Globals’ growth through various dimensions. As a result, Born Globals should base their decision of potential Venture Capitalists on more factors than just financial. The results from the study suggest that four out of five mechanisms suggested in the literature review are present in the Venture Capital - Born Global relationship, with a lack of evidence supporting the fifth mechanism, organisational culture. The findings also indicate that Born Globals are more particular in later financing rounds when deciding on Venture Capitalists.
The thesis contributes insights into the relationship between Venture Capital and Born Globals. Creating valuable knowledge about what characteristics are sought among Born Globals and Venture Capitalists. (Less)
Please use this url to cite or link to this publication:
http://lup.lub.lu.se/student-papers/record/9130401
- author
- Fredricsson, Felix LU ; Fridolfsson, Victor LU and Hemgren Sigås, Henrik LU
- supervisor
- organization
- alternative title
- A case study investigating the contribution of Venture Capital to Born Globals’ internationalisation
- course
- IBUH19 20231
- year
- 2023
- type
- M2 - Bachelor Degree
- subject
- keywords
- Venture capital, Born Globals, Internationalisation, Start-ups.
- language
- English
- id
- 9130401
- date added to LUP
- 2023-09-12 13:27:51
- date last changed
- 2023-09-12 13:27:51
@misc{9130401,
abstract = {{The global business environment has changed rapidly during the past decades; part of that change is the concept of Born Globals. Small and emerging companies are deviating from the traditional globalisation models with incremental steps to internationalisation in favour of turning global from inception. When a Born Global firm acquires Venture Capital, new demands on efficiency and returns are set by the external investor, potentially affecting the dynamics and strategy within the firm.
This thesis aims to discover how Venture Capital contributes to Born Globals in an emerging growth phase and their internationalisation strategies. First, an in-depth review of the existing research is presented, concluding that Venture Capitalists contribute to Born Globals by five mechanisms: provision of financial resources, management support, access to networks, reputation and credibility, and organisational culture.
Further, insights are gathered through a multiple-case study of four Born Globals from Lund. This study indicates that Venture Capital contributes to Born Globals’ growth through various dimensions. As a result, Born Globals should base their decision of potential Venture Capitalists on more factors than just financial. The results from the study suggest that four out of five mechanisms suggested in the literature review are present in the Venture Capital - Born Global relationship, with a lack of evidence supporting the fifth mechanism, organisational culture. The findings also indicate that Born Globals are more particular in later financing rounds when deciding on Venture Capitalists.
The thesis contributes insights into the relationship between Venture Capital and Born Globals. Creating valuable knowledge about what characteristics are sought among Born Globals and Venture Capitalists.}},
author = {{Fredricsson, Felix and Fridolfsson, Victor and Hemgren Sigås, Henrik}},
language = {{eng}},
note = {{Student Paper}},
title = {{Venture Capital’s Influence on Born Globals}},
year = {{2023}},
}