How entrepeneurship takes different forms - Corporate venturing: bringing new businesses to the corporation

9 important questions on How entrepeneurship takes different forms - Corporate venturing: bringing new businesses to the corporation

Describe cooperative corporate venturing

entrepeneurial activity where new businesses are being created and owned by the corporation together with one or more external development partners

Describe market development strategies

firms that seek growth in new markets with current products

Give some reason why firms engage in corporate venturing

exploit underutilized resources
apply competitive advantage on internal suppliers
spread risk of product development
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What are internal ventures motivated by according to miles and covin 2002?

leverage the parent resources in new business arenas
develop new capabilities
generate quick and predictable financial results

Was to realize greater value form the corporation preexisting resources also a motive?

yes

Describe the three waves of corporate venturing

60-70s   more than 25 percent of the fortune 500 is venture driven
70-80s   regulatory changes, need for high tech companies
90s telecommunications and internet boom

What are accoring to chesbrough four types of corporate venture capital investments

driving investments
enabling investments
emerging investments
passive investments

What are passive investments?

financial rationale for investment and loose operational link between the start up and the investing company

Is there a low level of managerial satisfaction with corporate venturing?

yes

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