Financing High-Tech Startups

Using Productive Signaling to Efficiently Overcome the Liability of Complexity

• Author(s): Robin P. G. Tech,
• Publisher: Springer
• Pages: 206
• ISBN_10: 3319661558
  ISBN_13: 9783319661551
  
• Language: en
• Categories: Business & Economics / Corporate Finance / Venture Capital , Business & Economics / Corporate Finance / General , Business & Economics / Production & Operations Management , Science / General , Business & Economics / Industrial Management , Business & Economics / General , Business & Economics / Research & Development ,

Description:... This book examines the adverse effects of complexity, information asymmetries, transaction costs, and uncertainty on investors’ decision making. It suggests mitigating those effects using appropriate and matching signals, and analyzes a sample of 903 German startups to quantitatively highlight the distinct financing patterns and characteristics of high-tech startups. It then investigates the reasons for these patterns on the basis of a qualitative study that includes 34 interviews with investors and entrepreneurs in the US and Germany and an international expert panel. Lastly, it presents a framework that matches complexity factors with appropriate productive signals.