To transform itself, the company first set up a realty investment company and a venture capital company, which was to examine the practicability of business transformation.
This paper discussed moral hazard problems of investment manager when venture capital company select projects. According to the development of venture capital in China, from the aspects of investment manager, investment decision committee and advisory committee of experts, some ways about how to keep away moral hazard of investment manager are pointed.
This paper in theory tries to reveal the problems of corporate governance at venture capital companies in China and to bring forth the constructive advice in order to prosper the theory of internal corporate governance at the venture capital company and to benefit improving their contributions in practice.
1.Research BackgroundIn 1986, the first shareholding VC Company in China--China New Technology Pioneering Investment Company (CNTPIC) was established, which indicated the rise of venture capital in China and in 1998,after 12 years, CNTPIC was closed, which hinted that venture capital faced difficult situation in China.
The characteristics of pioneering investment company determine that the partnership is the best selection of pioneering investment company. In order to develop pioneering investment in China, "Limited Partnership Law" should be formulated to meet the demands of pioneering investment company.
In 1985, the first venture capital corporation was established in China, beforeMr. Dengxiaoping made a round of inspection on the south of China in 1992hat is before largeamount of new technology companies arising in China, Chinese venture capital business wasnot developed well.
This paper mainly analyzes strategies about hastening the development of venture capital corporation in China from four aspects : Firstly, choose appropriate organizational style of venture capital corporation according to the concrete conditions uitable for China;
The mainboard on - the - market companies should not only be the direct investor of the pioneering- work investment, but also become the shareholder and the purchaser of the high - tech enterprises in their expanding or maturing periods
He shows that we can learn from successful facilitators of research commercialisation, such as Yissum, which is the research development company of the Hebrew University of Jerusalem and Zernike, a venture capital company in the Netherlands.