Open Business Models and Venture Capital Finance
File(s)
Accepted version
Author(s)
Colombo, MG
Cumming, D
Mohammadi, A
Rossi-Lamastra, C
Wadhwa, A
Type
Journal Article
Abstract
We investigate the differences in venture capital (VC) governance of investee firms with Open Business Models, specifically Open Source Software (OSS), versus closed business models. Due to OSS’s pronounced complexity and uncertainty, we conjecture that VC-backed OSS firms are more frequently staged and syndicated. We present robust empirical evidence from the United States that OSS ventures have more financing rounds and are more likely to be syndicated, and mixed evidence that OSS ventures have a larger number of syndicated investors.
Date Issued
2016-04-01
Date Acceptance
2016-01-20
Citation
Industrial and Corporate Change, 2016, 25 (2), pp.353-370
ISSN
0960-6491
Publisher
Oxford University Press (OUP)
Start Page
353
End Page
370
Journal / Book Title
Industrial and Corporate Change
Volume
25
Issue
2
Copyright Statement
© The Author 2016. Published by Oxford University Press on behalf of Associazione ICC. All rights reserved.
Subjects
Social Sciences
Business
Economics
Management
Business & Economics
OPEN SOURCE SOFTWARE
OPEN SOURCE COMMUNITY
OPEN INNOVATION
NETWORK EXTERNALITIES
ENTREPRENEURIAL FIRMS
VALUE CREATION
MORAL HAZARD
START-UPS
SYNDICATION
PERFORMANCE
1503 Business And Management
1402 Applied Economics
Business & Management
Publication Status
Published