CORPORATE VENTURE CAPITAL SYNDICATION STRATEGIES: A DYNAMIC NETWORK PERSPECTIVE

Abstract

Corporate Venture Capital (CVC) syndication is embraced by over 80% of corporates which co-investing the same startups with other corporates create a CVC syndication network. In this paper, we aim at exploring the evolutionary dynamics of the CVC syndication network. Specifically, we address this topic adopting two different perspectives. First, we investigate the architectural evolution of the CVC syndication network examining five dimensions that characterize the evolution of the network structure (i.e. degree distribution, connectivity, clustering, density and degree assortativity). In addition, we study how three network strategies (i.e. prominence, entrepreneurial and relational) evolve during the investigated period. Empirically, we conducted an exploratory investigation of the network architectural evolution and network strategy evolution of the CVC syndication phenomenon by considering 1272 corporates that have engaged in CVC syndication programs during a twenty-year time window (from 1995 to 2014). Our exploratory investigation offers critical theoretical contributions to previous literature and practical suggestions for managers that syndicate their CVC investment.