When entrepreneurs choose VCs: Experience, choice criteria and introspection accuracy

Does startup experience matter? Venture capital selection criteria among Israeli entrepreneurs

“…The results from the conjoint analysis are then compared with their espoused criteria. Valliere and Peterson (2007) found that novice entrepreneurs value the stated criteria differently from more experienced entrepreneurs, and that entrepreneurs tend to value these criteria differently in practice than what they espouse. Results show the most important criteria were valuation and the terms and conditions of the investment.…”

“…The first utilizes studies of VC firms' value-added contribution to indirectly infer that entrepreneurs seek non-financial benefits from VC involvement (Kaiser, Lauterbach, and Verweyen 2007;Zheng 2011). The second asks entrepreneurs directly what they are looking for in a VC firm (Smith 2001;Valliere and Peterson 2007). It is this latter stream of research that this study primarily draws upon.…”

“…Whereas Smith (2001) studied business experience, Valliere and Peterson (2007) also measure experience as the number of times entrepreneurs have previously sought VC.…”

“…Variation in the selection criteria is explained in part by the entrepreneurs' level of business experience and the VC firm's life-cycle stage. Valliere and Peterson (2007) are interested in how experience influences criteria when selecting a VC firm. Relying on data from 59 entrepreneurs, they evaluate 7 selection criteria:…”

Implementing asset management inside infrastructure agencies

“…The corporate level has remained the focus of many, for example by identifying the entrepreneur or founder (Campos, de la Parra, and Parellada, 2012) or the top management team (Lumpkin and Brigham, 2011;Guidice and Mero, 2007;D'Aveni, Ravenscraft, and Anderson, 2004) as the dominant constituent, but some now determine it by the influence it has on the problem. For example, Valliere and Peterson (2007) described the event of an entrepreneur selecting a venture capitalist to develop business opportunities. They found that the development of a 'dominant' selection criterion, i.e.…”