Value added by venture capitalists : the case of EDC (Export Development Canada)

It is generally well understood that venture capital (VC) is an important and significant source of financing for small firms. Questions revolving around the increased likelihood of a firm backed by Venture Capitalists (VCs) to be export oriented have yet to be fully explored. Responding to this research gap, a sample of Canadian VC backed firms is used to compare the performance of Canadian VC firms in terms of facilitating internationalization among their portfolio companies. The particular reference of this study is Export Development Canada (EDC), a crown corporation mandated to promote export among Canadian firms. This research finds that EDC as a VC investor and export-oriented consultant has no association with the increased probability of exporting. Also, stage of the investment does not show any relationship with internationalization. These results run contrary to previous speculation that syndication of VCs increases the probability of internationalization among portfolio firms.

Name dc:type.qualificationname

masters

Level dc:type.qualificationlevel

masters

Grantor dc:publisher.institution

University of Ottawa

Year dc:date.issued

2013

Authors dc:creator

• Rostamkalaei, Anoosheh
• Riding, Allan
• Lajili, Kaouthar