Venture capital (VC) is the abbreviation of venture capital, which refers to a kind of equity capital invested by professional financiers in emerging, rapidly developing enterprises with great competitive potential.
Conceptual explanation
From the perspective of investment behavior, venture capital is an investment process in which capital is invested in the research and development of high-tech and its products with failure risk, aiming at promoting the commercialization and industrialization of high-tech achievements as soon as possible, so as to obtain high capital gains.
From the perspective of operation mode, it refers to the process of investing venture capital in high-tech enterprises with special potential by investment intermediaries under the management of professional talents, and it is also an investment mode to coordinate the relationship between venture capitalists, technical experts and investors and realize benefit sharing and risk sharing.
The rise of venture capital in China stems from the outstanding economy of China after entering the new century.
The rapid economic development in China has attracted more and more China students studying abroad to return to China to develop their business. A high-tech project, a small entrepreneurial team and a small start-up fund. This is the situation when the vast majority of returnees just started their businesses.
Don't say that Internet companies like Baidu and Sohu are communication companies like UT Starcom. At the beginning of their business, they were just three or two people with seven or eight guns. It is only because of the continuous financing of venture capital funds that these companies finally stand out from a large number of similar companies.
Venture capital returnees venture capital has experienced nearly ten years of development, and its scale is increasing day by day. There are more than 40 China enterprises listed on NASDAQ, with a total market value of over $30 billion. In China enterprises listed on NASDAQ, most executives have overseas study background. China enterprises listed on NASDAQ are promoting the development of new technologies and traditional industries, creating a new model for enterprises to develop in China and raise funds overseas.
China enterprises listed on NASDAQ have broken through the category of Internet and high-tech companies. Companies in many industries and fields are landing on Nasdaq. In this regard, Xu Guangxun, chief representative of NASDAQ China, pointed out, "These companies are listed on NASDAQ, and their China concept has been accepted by the international market, which is undoubtedly a good thing for China enterprises. Most of the China companies listed on NASDAQ have overseas study background. "
Among them are Tian Suning, founder of AsiaInfo Technology and chairman and CEO of Baidu, Deng Zhonghan, chairman of Zhongxing Microelectronics Co., Ltd., Yang Ning, president of Kongzhong.com, Deng Feng of Northern Lights, Zhu Min, founder of WebEx, Shen Nanpeng, founder of Home Inns, Liang Jianzhang, chairman of Ctrip.com, Xu Xiaoping, director of Beijing New Oriental Education Group, and Wu Ping, president of Spreadtrum Communications Technology Co., Ltd., and many overseas returnees who have successfully led enterprises to land on Wall Street.