Abstract
In this paper, I analyze the support needs of New Technology Based Firms (hereafter, abbreviated “NTBFs”) and the post-investment activities of venture capital companies (hereafter, abbreviated “VCs”) in Japan based on the questionnaire survey and discuss the post-investment activities of VCs’ investment in NTBFs. The questionnaire reveals that the kinds of support needed by NTBFs can be classified into four factors: corporate strategy and motivation, advice and networking, financial and crisis management and recruitment. The questionnaire found that the type of support most needed by NTBFs is “corporate strategy and motivation”, followed by “advice and networking”, “recruitment”, and lastly, “financial and crisis management”. Among the seven kinds of support environments that were listed as being beneficial to the operations of NTBFs, the one most often cited was access to “manpower and talent” (professional managers and skilled employees) ”. on the other hand, the type of support most provided by VCs was “advice and networking”, followed by “financial and crisis management”, “corporate strategy and motivation” and lastly, “recruitment”. It will be essential to improve business environment about “recruitment” in fostering NTBFs in Japan. Providing post-investment activities on “recruitment” may be an effective way for VCs to differentiate their support services for NTBFs.
