Japan's Venture Capital Experience And Lessons Learned

The significant increasing speed of American economy has attracted the attention all over the world. Venture capital investment organizations contributed a lot to this. In Japan, after the Second World War, with the support of the venture capital investment, its industry has received a great development. Now in China we are facing the same situation as Japan used to face, industry upgrading . Besides, the culture between China and Japan has comparability. In order to have a faster & better development of venture capital investment in China, we should learn from the history of Japanese venture capital investment history.This essay begins with the development process of risk investment in Japan, gradually showing the characteristics of venture capital in Japan, which provides a basis of comparison for the later American venture capital industry. Japan's four Venture capital investment development revealed the development of the industry. This essay described the reasons, the development process and the evaluation of every wave so that the readers can understand the development process of the Japanese venture capital industry. JAFCO is a microcosm of Japanese venture capital industry .The development process of JAFCO can be taken as the development process of Japanese venture capital industry. In this paper, it is shown as a classic case .Throuh describing JAFCO's development process, this paper confirms the Japanese venture capital industry's evolution. Through a combination of specific cases, the essay focused on analyzing JAFCO's different investment methods for different stages of business growth, showing the characteristics of Japanese venture capital investment, so that readers can understand the unique style of Japanese venture capital from a different perspective.Japan's venture capital industry was promoted by its system . In order to make the reader have a better understanding of the inherent law of development of Japanese venture capital industry, so in this paper, we also focused on the elaboration of Japan's high-tech industrial policy, including the policy implementation ,the composition of high and new technology &transfer institutions, the characteristics of high and new technology transfer system, as well as the high-tech industrial policy implementation.Readers can understand Japanese high-tech industrial policy, fundamentally understand the historical background of the development in Japanese venture capital industry, and get a more thorough understanding of the developing macro-soil of Japanese venture capital industry.American venture capital industry now represents the venture capital industry's highest level. This article also presented an overview of the history and characteristics of American venture capital industry.After sorting out the characteristics of Japanese venture capital industry, this article compared the venture capital industry in Japan and the United States .By comparison, this essay got the differences in the system, government characteristics, sources of funding, capital flows,between the two countries.Through this,we can absorb and learn from Japanese venture capital experiences and lessons to provide a theoretical support.Finally, through the earlier discussion and comparison, basing on the China's own characteristics and Japanese venture capital experience and lessons, we promoted a certain degree of policy recommendations.