Venture Capital Investment Environment Development Strategy

[Abstract] environment for venture capital can not develop without the support of the six elements of the risk posed by the Investment environment, namely Economic development, environment, legal environment, policy environment, business environment, financial environment and geographical environment. This in-depth analysis of this to promote the venture capital industry.

[Keywords:] venture capital venture capital Environment

First, venture capital and the Environment
Venture Capital as an innovative financial instruments, along with the development of high-tech and high-tech industry came into being, high growth and high risk are the main characteristics of venture capital, which determines its development environment for venture capital requirement is very high, venture capital development needs a good environment for protection. what kind of risk Investment environment in the operation of the project is directly related to the success of venture capital and venture capital industry. Therefore, the development of venture capital to select a a suitable environment to guarantee the smooth progress of venture capital to play running effect. as long as the system environment for a perfect, venture capital can be conducted smoothly. risk Investment environment will directly affect the development of risk Investment, venture Investment environment is the environment elements of the collection, which has a dynamic, systematic, and other characteristics of relativity, therefore, objective, timely and accurate risk analysis of Investment environment conducive to improved risk Investment environment and promoting the development of risk Investment environment.

Second, the risk factor analysis of the Investment environment
Risk Investment environment is the impact of a country or region venture capitalists in the country or the region risks of investment activities in general terms, the specific form by the six elements, namely, Economic development, environment, legal environment, policy environment, business environment, financial environment and geographical environment.

(A) the Economic development environment to provide the material basis for the venture capital
Venture capital region's Economic development environment, including the region's Economic development level, economic development strategy, economic system, infrastructure, market sophistication, the stable price level and economic status.'s Economic development environment is the material basis for attracting venture capital, risk Investors in the investment before the first visit to the region's economic development environment, especially for less developed inland areas. If a regional lack of stable economic base and good conditions for economic development will increase the risk to some extent investment risks of investment in the region is also attractive for venture capital will be lowered.

(B) of the legal environment and provide an institutional guarantee for the venture capital
Venture capital area legal environment is the country of the region, the risk of investment laws, regulations and so on. Legal environment to attract venture capital to provide system security, regulate both the organizational form of venture capital, corporate governance, risk and protection the legitimate interests of investors to invest in activities play an important role in safeguarding. venture capital developed countries can not only improve the legal environment for the development of national venture capital industry plays a positive role in promoting, but also to the promotion of foreign venture capital investors venture into the country activities.

(C) policy environment, provide incentives for venture capital
Venture capital area is the policy environment in the region and attract venture capital to encourage the development of specific strategies, including industrial policy, tax incentives, foreign exchange management policy, the regional investment policy.

Policy environment to attract venture capital to promote a functional, rational and effective implementation of incentive policies will affect the fundamental economic interests of venture capitalists, can directly lead to increased risk and the enthusiasm of investors. In addition, through the implementation of specific policy differences can venture capital industry, the direction from the guiding role of the regional direction, which can be achieved to improve the investment structure in the region, a number of important industries or individual to promote regional economic development.

(D) the business environment for the efficient operation of venture capital protection
Areas to attract venture capital in the business environment is the process of venture capital operations, the areas associated with the various departments and sectors to support adaptation and matching, including government agencies and efficiency of service levels, intellectual property protection status information and the effectiveness of the credit service system, intermediary service, the public awareness of risk investment, venture capital and other aspects of professional talent pool. business environment determines the operational efficiency to attract venture capital, good business environment through improved risk investment to improve the operational efficiency of the operation of venture capital quality, thus achieving the goal of attracting more venture capital.

(E) financial environment for the support of venture capital plays an important role
Venture capital area is the financial environment in the region of the venture capital flows in the region provided by the financial conditions, including venture capital exit mechanism for venture capital firms and venture companies to provide financial support and so on. Financial environment attract the support of venture capital plays an important role in venture capital in a region can have a flexible way to smooth out, the financial sector in the region can provide the necessary investment of risk and effective financial support, are risk investors make investment decisions prior to The important factors to consider.

Links to Research Papers Download http://www.hi138.com (vi) impact of the geographical environment is an important reference for risk factors of investment location
Superior geographical environment for logistics, flow, capital flow and the rapid flow of information flow, reduce logistics costs, gathered in a wider range of factors of production is important, investors become risk factors important reference site.

The risk of the investment environment to attract the six elements are interrelated and indispensable, and it is a risk of investors into the venture capital activities in the region should meet the basic requirements. If a region in the investment environment to attract a certain element of risk there are significant deficiencies would severely affect the region's overall environment to attract venture capital, leading to risk investment in the region stalled.

Third, to promote the development of risk investment strategy of the environment
(A) adhere to the scientific concept of development, and actively build a venture capital environment
Risk investment environment is good administration skills and a comprehensive reflection of social civilization, the foundation of regional economic development and guarantee, is the key to good investment. Only adhere to the scientific concept of development, and actively build a venture capital environment in order to form a regional competitive advantage and attract more foreign investment, accelerate the development of the initiative to win. In addition to actively build risk investment environment, we must comprehensively implement the scientific development concept to the scientific development concept to guide the optimization of investment environment, global, people-oriented, comprehensive, coordinated, sustainable development.

(B) improve government functions and to increase the power of venture capital support
Improve government functions conducive to venture capital to provide a good service environment, thus improving the operational efficiency of venture capital. Therefore, the Government should formulate and improve various government regulations and rules, established goals to promote high-tech industry along the healthy development of every can actively support the small high-tech enterprises. For example, to unified planning and provide a legislative guarantee to provide financial support, the implementation of preferential policies and the establishment of specialized institutions to promote Technology transfer.

(C) to encourage innovation, talent introduction and establishment of reserves policy
Encourage enterprises, universities, Research institutions engaged in technological innovation co-founder of enterprises and organizations engaged in technical innovation projects or joint Research and development activities. Government production and Research activities of the combination of technological innovation can give financial support. Through policy guidance, interest driving and other measures to promote the flow of scientific and technical personnel to the industries, support a number of Research institutes into business groups and high-tech enterprises, enrich and strengthen technical force, formed mainly of large enterprises to absorb technological innovation environment. encourage high-tech Technology Enterprise Group, Doctoral and post-doctoral workstations, the flow of business to attract quality personnel. a talent reserve policy, the development of high-tech industry to meet the demand for talent.

(D) create a good legal environment to support the development of venture capital
The development of high-tech enterprises can not do without venture capital, venture capital is inseparable from the development of a sound legal environment. Promptly get rid of the laws restricting factor in the development of risk investment, establish and improve relevant legal systems and institutions, to create a favorable legal environment to encourage risk The formation mechanism of the normal operation of investment. In this regard, many of our region has developed a number of administrative regulations to encourage venture capital. venture capital mainly related to high-tech products, services, Research and development, risk investment with high returns from their knowledge more acquired property. If the entrepreneur's lack of effective protection of intellectual property, is bound to affect the risk of investment returns. So the need for special protection of high-tech intellectual property laws and regulations.


References:
[1] Chen Ying Ying. Shanghai Venture Capital Environment [D]. Shanghai: Shanghai Tongji University, 2008.

[2] Cao Long Qi, Zhang Yan. Shenzhen, Shanghai and Beijing Investment Environment of risk [J]. Shenzhen University (Humanities and Social Sciences), 2004 (9).

[3] Huang Guoxiang, Qian Gang. The risk of the investment environment and countermeasures [J]. Shanghai Management Science, 2005 (4).

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