Research On Capital Resource And Principal-agent Of China Venture Capital

Venture capital (VC) is critical to create more and more New venture start-ups, develop China high-technology industry, upgrade industry structure of national economy, create more jobs and encourage innovative activity of whole society. The development of venture capital has"path dependence"in a certain extent. The feature of development pattern is different between VC directed by government and by market. The capital resource of VC has great influence on its development. But domestic research of the capital resource is in its infancy. So we analysis the actual state and defects of China Venture Capital Industry and try to propose some related police based on the angle of VC's capital resource.Firstly, in this paper, the actual state of China Venture Capital Industry is analyzed through questionnaire and on-the-spot investigation. The important influence factors and the harmonious relationship of Venture Capital and New venture start-ups development is investigated. In this research, exist and development circumstance of Venture Capital Industry is surveyed in levels of policy and regulation, social culture, practitioner and agency. Some new phenomenon was found in research. Such as: One of the evaluation guide line,"the technology of project is more important than start-up firm team"is accept broadly in Venture Capital Industry; Governmental intervention exit in decision process in almost all of government back-up VC. The New venture start-ups incline to the VC is the same as the common share investment; VC is in a dilemma between invest diversified portfolio and centralization investment; Risk-taking capacity of State-owned capital is more weak than others, etc.Secondly, based on actual state investigation, a mathematics mode is proposed to analyze the relationship between Venture Capital and New venture start-ups with principal-agent theory. Subject to incentive compatibility (IC) and participation constraints (PC), the VC capital structure is analyzed also. Under the public policy, We analysis the effect of base salary that the VC offers to the entrepreneur, share of VC and entrepreneur, managerial services, etc. In this way, the quantitative ratio of those parameters is acquired. Furthermore, the public policy such as educational program of government, output subsidies, subsidy to equipment investment. While these measures stimulate entrepreneur, only cost-effective government services can improve welfare.Finally, through the angle of VC's capital resource, using case study, we choice VC development pattern of three city to analysis the feature each other. We try to found a scientific foundation provide for optimization using of financial capital.