Specific managerial human capital, firm age, and venture capital financing of biopharmaceutical ventures: A contingency approach

Entrepreneurial Finance in the Twenty-first Century, a Review of Factors Influencing Venture Capitalist’s Decision

“…Can we consider the influence of all types of degrees under a single umbrella, education? Behrens et al (2012) found that the positive effect of education is neither generic nor consistent. While considering biopharmaceutical ventures, they found the effect to be limited to early stage ventures.…”

Quality signals? The role of patents, alliances, and team experience in venture capital financing

“…General experience should have a productive value since an experienced team is more proficient in problem solving, has entrepreneurial process knowledge, and may bring network connections helpful in developing the venture (Hsu, 2007). In addition, with experience in the focal industry the team possesses relevant knowledge of and possibly relationships with customers and suppliers (Gimeno et al, 1997), better understands how to manage industry specific product development processes (Behrens et al, 2012), and can more quickly grasp opportunities that require industry specific skills for their recognition (Feeser and Willard, 1990). Prior experience also facilitates the founding team's obtaining relevant resources through creating organizational legitimacy (Packalen, 2007, and references therein).…”

“…Busenitz et al (2005) study signals that new venture teams send by investing into their own venture; Hsu (2007) finds that, under some circumstances, the team's formal education (specifically, a doctoral degree) may serve as a signal, as may foregoing high value alternatives; and Elitzur and Gavious (2003), using a game theoretic model, show that the entrepreneur sends a positive signal to VCs by approaching an angel investor. Behrens et al (2012) argue that managerial human capital constitutes a signal of managerial competence to investors, but given the close causal link between the two one might consider the effect a productive rather than a signaling one.…”

The The Role of Proximity in Resources Exchanged by Incubatees of Biopartner Center Leiden, the Netherlands

“…Based on the notion that knowledge spillovers are place-bound (Jaffe et al, 1993), economic geographers interested in intensive (innovation) business relations have focused on distance as measured by geographical proximity. In accordance with the work of the French School of Proximity Dynamics, academics have developed different dimensions of proximity (D'Este et al, 2012;Beugelsdijk and Mudambi, 2013). In his seminal article on proximity and innovation, Boschma (2005) argued that in addition to the traditional geographical interpretation of physical distance, proximity consists of several components, each of which distinctively impacts knowledge exchange, learning, and innovation.…”