Small fish, big fish: The performance effects of the relative standing in partners' affiliate portfolios

• 成果类型: Article
• 署名作者: Ozmel, Umit; Guler, Isin
• 署名单位: Purdue University System; Purdue University; Sabanci University
• 刊物名称: STRATEGIC MANAGEMENT JOURNAL
• ISSN/ISSBN: 0143-2095
• DOI: 10.1002/smj.2332
• 发表日期: 2015
• 页码: 2039-2057
• 关键词: relative standing; affiliation portfolios; venture capital; portfolio size; status

摘要

This study examines whether the value a venture derives from an affiliation depends on its relative standing in the portfolio of all affiliations held by its partner. Relative standing refers to how the venture ranks among other ventures in the partner's portfolio with respect to expected returns. The relative standing of a venture in its partner's portfolio influences the venture's access to the partner's resources and the venture's performance. We also argue that a venture's relative standing becomes more important to performance when the partner has a larger portfolio or higher status. In addition to a field study, we test the effect of a venture's relative standing in a venture capital portfolio on its exit likelihood, controlling for endogeneity. We find support for our hypotheses. Copyright (c) 2014 John Wiley & Sons, Ltd.