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Arranging individual investment projects back-to-back, the model thus describes a repeated, intertemporal venture capital cycle.
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In the short run, the industry will balance a supply shortage by an increase in the speed at which the venture capital cycle turns.
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Public listing is also seen as the goal of most entrepreneurs and investors in the venture capital cycle.
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This will make the venture capital cycle turn faster in order to cope with the high amount of potential firms.
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