Showing articles by Ma, Song
Selling Innovation in Bankruptcy
Innovation is crucial for the modern economy. Financing innovation is an important but challenging task for innovative firms as innovation is associated with high degree of uncertainty. In addition, the high-risk nature of innovation makes failure highly likely and thus the bankruptcy process particularly relevant to firms’ financing policy. Ideally,…
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The Life Cycle of Corporate Venture Capital
Recent decades have witnessed non-financial firms’ forays into venture capital by creating Corporate Venture Capital (CVC) divisions. That is, these firms create internal CVC divisions to make systematic minority equity investments in innovative startups. As an illustration, consider GM Ventures, the CVC unit initiated by General Motors in 2010. On…
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