Venture Capital And The Innovation Of Listing Companies

Nowadays, with the rapid growth of economic in China, the development momentum of small and medium-sized enterprises is also very fast, and has gradually become a new support of national economy. But to the small and medium-sized enterprises (especially high-tech SMEs), its own limitations cause it difficult to get development funds with the traditional financing channels (such as bank loans), just now, venture capital (VC) as a new type of equity capital, focus on high growth or strong innovation enterprise or industry, and support fund to obtain high profit that matches the risk, so small and medium enterprises prefer to choose venture capital for its financing needs. One feature of high-tech enterprise is its ability to innovation, so that the research of venture capital and innovation of listing companies is of important significance for small and medium enterprises.As to venture capital, we considered two aspects: one is do venture capital effect listing company’s innovation; the other is which characteristics of venture capital, including shareholding ratio, investment time, way, background and the reputation of the institution factors, has the affection on listing companies; the paper also take two parts to innovation of listing companies, the innovation input and innovation output, so the study in this paper can be divided into four parts.This paper use the data of small and medium enterprises of information and manufacturing in Shenzhen technology industrial board, by constructing OLS regression models and negative two regression models for empirical research on the relationship between venture capital and the innovation of listing companies. The results show that, the participation of venture capital has positive effect on innovation input and output, while the effects of risk investment on innovation output has a time lag; and venture capital with foreign background and high reputation, the higher the proportion of shareholding, the earlier (i.e. growth into) to enter the company, joint to investment the company do impact of the innovation of listing companies more.Research also shows that, the company’s R&D and technical staff input has a significant impact on the innovation input, while company’s scale, development capacity has a significant influence on the output of innovation, only the trade of a company and company’s profitability have effect on innovation input and output, also company’s R&D input has a greater impact on innovation than venture capital.Finally, the paper explained the results of regression, and put forward some policy suggestions.