{"title":"用公共风险投资促进发展中行业的创业——来自匈牙利的证据","authors":"Patrícia Becsky-Nagy, Balázs Fazekas","doi":"10.1108/jeee-06-2022-0167","DOIUrl":null,"url":null,"abstract":"\nPurpose\nVenture capital (VC) is an essential element in healthy entrepreneurial environments; therefore, many countries in developing entrepreneurial economies support the industry via direct or indirect government interventions. The purpose of this study is to examine through the example of the Hungarian market, whether direct or hybrid state involvement has contributed more to the growth of the invested enterprises. The findings are relevant in the design of government VC schemes and in the contracts mitigating the moral hazards inherent in government funding.\n\n\nDesign/methodology/approach\nThe basis of empirical research is a unique hand-collected database covering Hungarian government-backed VC (GVC) investments. Based on the financial data of investee firms, the authors investigate whether firms financed by hybrid VC involving market participants are able to outperform firms that receive pure public financing using panel regression.\n\n\nFindings\nBased on Hungarian evidence, hybrid VC-backed firms generated lower growth and employment than their purely government-backed peers. Both schemes showed meagre innovation activity. The conclusion is that because of the conflict of private and economic policy objectives in hybrid financing, the exposure of hybrid risk capital to moral hazard is higher than that of pure public financing. Private interests in hybrid funds can only improve investment efficiency if they are structured along the lines of market-based independent financial intermediation and the contracts imitate the ones existing amongst limited and general partners in private schemes.\n\n\nResearch limitations/implications\nThe research covers the data of Hungarian government-backed firms by tracking the full range of 86 investments made in the purely government scheme and 340 firms that received funding in the hybrid scheme. The research focuses on two government initiatives, and the results are influenced by the specific regulation of the programs; therefore, the results cannot be generalized for all government agendas; they are indicative in the designs of the agendas.\n\n\nOriginality/value\nThere is a limited number of empirical studies investigating the impact of VC in developing markets, especially in the Central and Eastern Europe region. This firm-level research on the impact of public VC can help improve the effectiveness of development policies. By analysing the entirety of investments of a VC program that is near to its completion, the authors provide new insight into the efficiency and prospects of GVC schemes in the region.\n","PeriodicalId":45682,"journal":{"name":"Journal of Entrepreneurship in Emerging Economies","volume":" ","pages":""},"PeriodicalIF":2.9000,"publicationDate":"2023-02-16","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":"0","resultStr":"{\"title\":\"Spurring entrepreneurship with public venture capital in developing industries – evidence from Hungary\",\"authors\":\"Patrícia Becsky-Nagy, Balázs Fazekas\",\"doi\":\"10.1108/jeee-06-2022-0167\",\"DOIUrl\":null,\"url\":null,\"abstract\":\"\\nPurpose\\nVenture capital (VC) is an essential element in healthy entrepreneurial environments; therefore, many countries in developing entrepreneurial economies support the industry via direct or indirect government interventions. The purpose of this study is to examine through the example of the Hungarian market, whether direct or hybrid state involvement has contributed more to the growth of the invested enterprises. The findings are relevant in the design of government VC schemes and in the contracts mitigating the moral hazards inherent in government funding.\\n\\n\\nDesign/methodology/approach\\nThe basis of empirical research is a unique hand-collected database covering Hungarian government-backed VC (GVC) investments. Based on the financial data of investee firms, the authors investigate whether firms financed by hybrid VC involving market participants are able to outperform firms that receive pure public financing using panel regression.\\n\\n\\nFindings\\nBased on Hungarian evidence, hybrid VC-backed firms generated lower growth and employment than their purely government-backed peers. Both schemes showed meagre innovation activity. The conclusion is that because of the conflict of private and economic policy objectives in hybrid financing, the exposure of hybrid risk capital to moral hazard is higher than that of pure public financing. Private interests in hybrid funds can only improve investment efficiency if they are structured along the lines of market-based independent financial intermediation and the contracts imitate the ones existing amongst limited and general partners in private schemes.\\n\\n\\nResearch limitations/implications\\nThe research covers the data of Hungarian government-backed firms by tracking the full range of 86 investments made in the purely government scheme and 340 firms that received funding in the hybrid scheme. The research focuses on two government initiatives, and the results are influenced by the specific regulation of the programs; therefore, the results cannot be generalized for all government agendas; they are indicative in the designs of the agendas.\\n\\n\\nOriginality/value\\nThere is a limited number of empirical studies investigating the impact of VC in developing markets, especially in the Central and Eastern Europe region. This firm-level research on the impact of public VC can help improve the effectiveness of development policies. By analysing the entirety of investments of a VC program that is near to its completion, the authors provide new insight into the efficiency and prospects of GVC schemes in the region.\\n\",\"PeriodicalId\":45682,\"journal\":{\"name\":\"Journal of Entrepreneurship in Emerging Economies\",\"volume\":\" \",\"pages\":\"\"},\"PeriodicalIF\":2.9000,\"publicationDate\":\"2023-02-16\",\"publicationTypes\":\"Journal Article\",\"fieldsOfStudy\":null,\"isOpenAccess\":false,\"openAccessPdf\":\"\",\"citationCount\":\"0\",\"resultStr\":null,\"platform\":\"Semanticscholar\",\"paperid\":null,\"PeriodicalName\":\"Journal of Entrepreneurship in Emerging Economies\",\"FirstCategoryId\":\"1085\",\"ListUrlMain\":\"https://doi.org/10.1108/jeee-06-2022-0167\",\"RegionNum\":0,\"RegionCategory\":null,\"ArticlePicture\":[],\"TitleCN\":null,\"AbstractTextCN\":null,\"PMCID\":null,\"EPubDate\":\"\",\"PubModel\":\"\",\"JCR\":\"Q2\",\"JCRName\":\"BUSINESS\",\"Score\":null,\"Total\":0}","platform":"Semanticscholar","paperid":null,"PeriodicalName":"Journal of Entrepreneurship in Emerging Economies","FirstCategoryId":"1085","ListUrlMain":"https://doi.org/10.1108/jeee-06-2022-0167","RegionNum":0,"RegionCategory":null,"ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":null,"EPubDate":"","PubModel":"","JCR":"Q2","JCRName":"BUSINESS","Score":null,"Total":0}
Spurring entrepreneurship with public venture capital in developing industries – evidence from Hungary
Purpose
Venture capital (VC) is an essential element in healthy entrepreneurial environments; therefore, many countries in developing entrepreneurial economies support the industry via direct or indirect government interventions. The purpose of this study is to examine through the example of the Hungarian market, whether direct or hybrid state involvement has contributed more to the growth of the invested enterprises. The findings are relevant in the design of government VC schemes and in the contracts mitigating the moral hazards inherent in government funding.
Design/methodology/approach
The basis of empirical research is a unique hand-collected database covering Hungarian government-backed VC (GVC) investments. Based on the financial data of investee firms, the authors investigate whether firms financed by hybrid VC involving market participants are able to outperform firms that receive pure public financing using panel regression.
Findings
Based on Hungarian evidence, hybrid VC-backed firms generated lower growth and employment than their purely government-backed peers. Both schemes showed meagre innovation activity. The conclusion is that because of the conflict of private and economic policy objectives in hybrid financing, the exposure of hybrid risk capital to moral hazard is higher than that of pure public financing. Private interests in hybrid funds can only improve investment efficiency if they are structured along the lines of market-based independent financial intermediation and the contracts imitate the ones existing amongst limited and general partners in private schemes.
Research limitations/implications
The research covers the data of Hungarian government-backed firms by tracking the full range of 86 investments made in the purely government scheme and 340 firms that received funding in the hybrid scheme. The research focuses on two government initiatives, and the results are influenced by the specific regulation of the programs; therefore, the results cannot be generalized for all government agendas; they are indicative in the designs of the agendas.
Originality/value
There is a limited number of empirical studies investigating the impact of VC in developing markets, especially in the Central and Eastern Europe region. This firm-level research on the impact of public VC can help improve the effectiveness of development policies. By analysing the entirety of investments of a VC program that is near to its completion, the authors provide new insight into the efficiency and prospects of GVC schemes in the region.
期刊介绍:
JEEE acquaints the readers with the latest trends and directions of explorations in the theory and practice of entrepreneurship. For the research section, the Journal of Entrepreneurship in Emerging Economies considers high quality theoretical and empirical academic research articles in the field of entrepreneurship, as well as general reviews. The ‘Entrepreneurship in practice’ section publishes insights from industry, case studies, policy focus pieces and interviews with entrepreneurs. Coverage will focus primarily on the following topics: Government policy on entrepreneurship International entrepreneurship Small and medium-sized enterprises Family-owned businesses The innovator as an individual and as a personality type New venture creation and acquisitions of a growing company Entrepreneurial behaviour in large organizations Venture financing and entrepreneurial education Minority issues in small business and entrepreneurship Corporate and non-profit entrepreneurship Ethics, the entrepreneur and the company Entrepreneurial cooperation and networking Entrepreneurial environment and cross-cultural management Comparative studies of entrepreneurship and marketing issues Development of the service sector and Chinese economy Chinese marketing and business innovation Service marketing and service innovation Brand management and network innovation Supply chain management and customer relationship management Entrepreneurial processes Risk management and venture capital Entrepreneurship and environmental sustainability Entrepreneurial growth and business sustainability Entrepreneurship, social sustainability, and social justice Entrepreneurship, proverty alleviation, and economic development.