• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.17 no.2
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• pp.33-51
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• 2022

This study analyzes newly listed companies on KOSDAQ from 2011 to 2020 for both firms having experience in attracting venture investment before listing (VI) and those without having experience in attracting venture investment (NVI) by examining differences between two groups (VI and NVI) with respect to both the level of listing performance and that of firm performance (growth) after the listing. This paper conducts descriptive statistics, mean difference, and multiple regression analysis. Independent variables for regression models include VC investment, firm age at the time of listing, firm type, firm location, firm size, the age of VC, the level of expertise of VC, and the level of fitness of VC with investment company. Throughout this paper, results suggest that listing performance and post-listed growth are better for VI than NVI. VC investment shows a negative effect on the listing period and a positive effect on the sales growth rate. Also, the amount of VC investment has negative effects on the listing period and positive effects on the market capitalization at the time of IPO and on sales growth among growth indicators. Our evidence also implies a significantly positive effect on growth after listing for firms which belong to R&D specialized industries. In addition, it is statistically significant for several years that the firm age has a positive effect on the market capitalization growth rate. This shows that market seems to put the utmost importance on a long-term stability of management capability. Finally, among the VC characteristics such as the age of VC, the level of expertise of VC, and the level of fitness of VC with investment company, we point out that a higher market capitalization tends to be observed at the time of IPO when the level of expertise of anchor VC is high. Our paper differs from prior research in that we reexamine the venture ecosystem under the outbreak of coronavirus disease 2019 which stimulates the degradation of the business environment. In addition, we introduce more effective variables such as VC investment amount when examining the effect of firm type. It enables us to indirectly evaluate the validity of technology exception policy. Although our findings suggest that related policies such as the technology special listing system or the injection of funds into the venture ecosystem are still helpful, those related systems should be updated in a more timely fashion in order to support growth power of firms due to the rapid technological development. Furthermore, industry specialization is essential to achieve regional development, and the growth of the recovery market is also urgent.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.17 no.5
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• pp.1-16
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• 2022

Although start-up is a key national strategy to increase national competitiveness and create employment, the survival rate of start-ups has not improved significantly. This is an important reason for the inability to provide timely and appropriate support to startups, which are in the early stages of start-up, due to the unique limitations of existing start-up support institutions and investors. The relatively recent accelerator is attracting attention as a subject of solving the above problems through professional incubation and investment. However, there are only a few empirical studies on investment determinants that affect the survival and success of accelerators, and there is a lack of theoretical evidence. Accordingly, in previous studies, 12 investment determinants were derived from a static, strategic, and dynamic perspective as accelerator investment determinants based on a business model innovation framework. This study subdivided the accelerator investment determinants derived through previous studies into 21 and analyzed the importance and priority of each factor using AHP (Analytic Hierarchy Process) analysis technique for domestic accelerator investment experts. As a result of the analysis, the top factors of importance of accelerator investment determinants were in the order of 'human resources', 'customer and market', 'intellectual resources', and 'entrepreneur's ability to realize opportunities'. It can be seen that the accelerator considers the core competencies of startups to implement solutions as the most important factor when making startup investment decisions. It was also confirmed that accelerators are strategic to create a clear value proposition and differentiated market position based on the core competitiveness of startups, and that the core value delivery method prefers a market-oriented business model and recognizes entrepreneurs's innovation capability is an important factor to realize a business model with limited resources in a rapidly changing market. This study is of academic significance in that it analyzes the importance and priority of accelerator investment determinants through demonstration as a follow-up study on accelerator investment determinants derived based on business model innovation theory that reflects the nature, goals, and major activities of accelerator investment. In addition, it is of practical value as it contributes to revitalizing the domestic startup investment ecosystem by providing accelerators with theoretical grounds for investment decisions and specific information on detailed investment determinants.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.17 no.3
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• pp.103-117
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• 2022

The recent corporate economy, such as the COVID 19 pandemic that has spread all over the world since the beginning of 2020, the acceleration of the 4th industrial revolution, and supply chain management risks triggered by the US-China conflict and the Ukraine crisis, is more serious than ever before. CEOs who have started and managed small and medium-sized enterprises (SMEs) are more concerned than ever about the sustainability of their businesses in this reality. Nevertheless, there were few empirical studies on the factors that influence the intention of SME CEOs to discontinue business. In this study, the perception of the business environment of SMEs (intensity of competition in key business areas, difficulty in manpower management), corporate competency (employee competency, company product or service competitiveness, supply chain and consumer relations, digital competency and technical expertise), and CEO's competency(trust between employees and the CEO, management competency and perceived health status of CEO) on CEO's intention to discontinue business was discussed. As a result of the study, the intensity of competition in the main business field, and the difficulty in manpower management had a positive (+) effect on the intention to discontinue the business, and the employee competency, product (service) competitiveness, digital competency of the company, and the CEO's Health status had a negative (-) effect on intention to discontinue business. The relationship between these influences was found in the order of CEO's health status, product competitiveness, employee competency, digital competency, competitive strength in the main business, and difficulty in manpower management. It was analyzed that supply chain and consumer relations, trust between employees and the CEO, and management capabilities did not significantly affect the intention to discontinue business. On the other hand, business confidence has a mediating effect between the intensity of competition in the main business field, the difficulty in manpower management, product or service competitiveness, digital competency, trust between employees and the CEO, and the management capability and intention to discontinue business was tested. This study had academic significance in that it empirically analyzed factors related to intention to discontinue business targeting small and medium-sized business CEOs. In practice, as it has been found that business environment awareness, corporate competency, managerial competency, and business confidence are factors that influence the intention to discontinue business, if an action ideas that can reinforce this part can be found, SMEs can achieve sustainable growth or it may help CEO find an meaningful exit.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.19 no.4
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• pp.41-53
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• 2024

The Korean government's SME policy has shifted from the traditional focus of protecting SMEs against large business groups to foster innovative SMEs by upgrading their innovation base. From the government's policy perspective, innovative SMEs are defined as SMEs that can secure technological competitiveness or have the potential for future growth through technological innovation activities. Based on the resource-based theory and resource dependence theory, this study aims to explain whether both R&D capabilities of innovative SMEs and the acquisition of venture certification have a significant impact on enhancing global technological competitiveness. According to the resource-based theory, differences in a firm's tangible and intangible resources and R&D capabilities determine its innovation activities and performance. On the other hand, the resource dependence theory argues that government certification programs to support SMEs positively affect SMEs' innovation activities and performance by increasing their access to the external resources needed for innovation. Going a step further, this study examines the moderating effect of the product life cycle. As a moderating variable, the product life cycle is expected to have an opposite effect on the internal and external resource utilization. The results based on the SME Technology Statistics(2020) support the direct effect of both R&D capability and venture certification on global technological competitiveness and the differential moderating effect of product life cycle. The finding that the technological competitiveness effect of internal resource utilization is greater for longer product life cycles, while the technological competitiveness effect of external resource utilization is greater for shorter product life cycles suggests that product life cycle should be considered as an important contextual variable when studying the relationship between R&D, technological innovation, and performance. These results also suggest that in a global competitive environment where product life cycles are dramatically shortening, innovative SMEs that suffer the dual liabilities of newness and smallness should focus not only on strengthening internal R&D capabilities but also on strategically securing external resources.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.19 no.4
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• pp.69-85
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• 2024

Social enterprises, hybrid organizations that blend the logic of the public and market economies, have emerged as an alternative to market failure. However, due to the government-led compressed growth of social enterprises, many social enterprises rely on government financial support, and when the support ends, the survival rate drops significantly and the scale remains at the microenterprise level, raising concerns about the quality growth and sustainability of social enterprises. Therefore, the purpose of this study is to identify the social entrepreneurial orientation that affects the sustainable management performance and to empirically analyze the moderating effect of network utilization capabilities in this process. To achieve the purpose of this study, a questionnaire was distributed to a random sample of member organizations in the metropolitan area, including the Incheon City Small Business Association, the Gyeonggi-do Small Business Association etc. The survey was conducted for about two months and a total of 1,300 questionnaires were distributed and 180 were returned, of which 173 were used for empirical analysis, excluding seven that were not returned. The collected survey data were subjected to structural equation modeling test using Smart PLS ver. 4.1 statistical package. The results showed that entrepreneurial value orientation and social value orientation positively influenced both economic and social performance. Convergent value orientation was only found to have an effect on economic performance, but not on social performance. Finally, the moderating effect of network capabilities was also found, suggesting that social entrepreneurial orientation positively affects organizational performance when social network capabilities are higher.