TY - CHAP

T1 - Entrepreneurial Investment Cycle – A Large-scale Longitudinal Study

AU - Schulte, Reinhard

N1 - Publisher Copyright: © 2023 Walter de Gruyter GmbH, Berlin/Boston.

PY - 2023/11/6

Y1 - 2023/11/6

N2 - Investment trajectories of new businesses are an often disregarded but vital aspect of new venture development. This study debuts in showing robust evidence of new venture investment time patterns by using investment time series of 4,733 new businesses. Based on a fixed effects nonlinear panel regression approach, the chapter models the trajectory of new venture asset acquisition in the first years after market entry. The results unveil durations and levels of investment patterns. Showing a first investment peak at market entry and a second peak years later, an initial new venture investment cycle is bimodal. Its peak-to-peak duration yields approximately nine years on average. New venture investment can be staggered into three stages, namely an initial, a plateau, and a replacement and expansion stage.

AB - Investment trajectories of new businesses are an often disregarded but vital aspect of new venture development. This study debuts in showing robust evidence of new venture investment time patterns by using investment time series of 4,733 new businesses. Based on a fixed effects nonlinear panel regression approach, the chapter models the trajectory of new venture asset acquisition in the first years after market entry. The results unveil durations and levels of investment patterns. Showing a first investment peak at market entry and a second peak years later, an initial new venture investment cycle is bimodal. Its peak-to-peak duration yields approximately nine years on average. New venture investment can be staggered into three stages, namely an initial, a plateau, and a replacement and expansion stage.

KW - Management studies

KW - new ventures

KW - start-up

KW - investment pattern

KW - investment trajectory

KW - fixed effects model

KW - panel data

KW - new ventures

KW - start-up

KW - investment pattern

KW - investment trajectory

KW - fixed effects model

KW - panel data

KW - Entrepreneurship

UR - https://d-nb.info/1290728305

UR - https://www.degruyter.com/document/doi/10.1515/9783110747652/html#overview

UR - http://www.scopus.com/inward/record.url?scp=85177456089&partnerID=8YFLogxK

UR - https://www.mendeley.com/catalogue/0e13d8a5-f3fb-3678-9c6f-3beec41484a9/

U2 - 10.1515/9783110747652-006

DO - 10.1515/9783110747652-006

M3 - Chapter

SN - 978-3-11-074752-2

SN - 3-11-074752-9

T3 - De Gruyter Handbooks in Business, Economics and Finance

SP - 97

EP - 112

BT - De Gruyter Handbook of SME Entrepreneurship

A2 - Dabić, Marina

A2 - Kraus, Sascha

PB - Walter de Gruyter GmbH

CY - Berlin

ER -