Why would an organization consider corporate venturing? What motives might drive them in this direction? APA style, 1-2paragraph, 350 words

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Why would an organization consider corporate venturing? What motives might drive them in this direction?
APA style, 1-2paragraph, 350 words

Answered Same DayDec 27, 2021

Answer To: Why would an organization consider corporate venturing? What motives might drive them in this...

David answered on Dec 27 2021
132 Votes
Corporate venturing involves taking an equity stake in a smaller company. It is a
popular investme
nt option for many large companies nowadays. Typically, it is done by
setting up a separate fund for investing in start-ups and growth companies.
Corporate venturing provides a great amount of leverage to the efficiency ratios of
the Company. It allows greater utilization of the assets and capabilities of the business to
create more wealth for the organization. This is especially true in high growth business
areas. There can be various motives that drive an organization to corporate venturing.
With corporate venturing, the organization creates and increases shareholder
wealth. This...
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