Why does a company use venture capital to bring it to the market Dissertation

Why does a company use venture capital to bring it to the market - Dissertation Example Venture capitalists are those who plunge at the rescue of companies when they need it the most and hence bail them out of an impending crisis owing to a financial crunch. These venture capitalists are virtually risk lovers who offer their resources to companies with a high growth potential but which are involved in innovative practices not considered secure according to conventional thoughts. They invest merely to test their luck and speculative powers. However, recently this trend has taken a U-turn with most of the venture capitalists opting for companies with an already established brand name backing them and searching for investors for new product development or market expansion in different regions. But, the function of venture capitalists is still largely recognised as one that helps push a new entrant to the market and distinguish its position. The present paper attempts to illustrate the fact through the experiences of senior managers employed at a Chinese company. 1.1 Backgr ound Venture capital has emerged as an intermediary, with a significant clout in the financial markets, facilitating access of capital to the firms facing difficulty in raising funds. These firms, mainly in their nascent stage, are beset by high uncertainty levels, possess limited tangible assets and these firms function in a highly dynamic markets. Venture capital is often touted as one that fuelled innovation in American economy and as an industry that fuelled the rise and fall of the era of ‘internet’. The research conducted on the dramatic growth and decline in this industry has shown that the venture capital industry, though smaller in size than the public markets, has succeeded in exercising a positive influence on the general economic environment. The venture capital industry is essentially an American phenomenon with its origin in â€Å"family offices† entrusted with the task of managing the wealth of high profile individuals. With time these families hir ed professional managers from outside to oversee and monitor such investments. The venture capitalists invest funds in nascent business firms. Most of these firms have limited cash resources and a majority of them are subject to strict credit rationing. Besides, these firms are characterised by information asymmetries and high levels of

A History of Modern Psychology Essay Example | Topics and Well Written Essays - 750 words

A History of Modern Psychology - Essay Example Following the year 1870, college students in the United States increasingly became responsive to the innovative psychology: a professor at Harvard University, William James, initiated theories of intellect and displayed pragmatic results with a set of ‘brass devices’, taken from laboratories of physics and physiology. â€Å"Wundt, who is considered to be the originator of contemporary psychology† (Schultz, 2011), wrote extensively on psychology as an autonomous educational field and, during the year 1879, founded the earliest psychological laboratory. Sigmund Freud developed his individual structure of psychology as well as psychiatric therapy, which he named as psychoanalysis. His structure was extended by means of an apprentice technique of â€Å"training analysis† (Schultz, 2011) earlier than the psychoanalyst started a private practice. Psychoanalysis within America turns out to be linked with the medicinal line of work, expanding independently from edu cational psychology. Early Western philosophy is identified largely by the three great thinkers: Socrates, Plato and Aristotle. They set the groundwork for Western philosophy by investigating and describing the â€Å"range, scope, method, terminology, and problematic of psychological investigation† (Goodwin, 2008). In the 19th century, the issue of the ‘relationship of mind to brain’ turns out to be ever more critical. In fact, the concern was so profound that it is complicated to discover a methodical text printed after 1860 that does not have a dialogue about this concern. Largely, this directly revealed two key advancements that united to make an impact on philosophers as well as psychologists with the ‘centrality of the mind/brain problem’. The first of these deals with improvement in understanding the localization of intellectual job, founded on the thought that the brain serves as the part of mind. The second deals with a rising awareness with the opinion that mental occurrences - such as faiths, intellectual ideas, captivating trance states, and intuitive upsets - occasionally result in drastic modifications in the condition of the body. This alteration took place as advancement was made in knowing the nature of functional nervous disorders’. During the year 1870, Shadworth Hodgson provided the earliest contemporary expression of a vision that he named as ‘epiphenomenalism’ (Benjamin, 2006). Descartes had envisioned the thought that animals were entirely â€Å"physical automata devoid of mental states, a notion that carries with it the implication that a completely self-sufficient neural mechanism can produce complicated and apparently intelligent acts† (Benjamin, 2006). Later this vision was broadened to include human beings, but moderated so that just the underlying usefulness and not the real existence of psychological conditions were rejected. In addition, dominant in the rising discipline of psychology, were discussions surrounding the usefulness of Mesmerism in addition to the importance of phrenology. The earlier one was extended during the year 1770 by Anton Mesmer, who declared to apply the control of ‘gravity’ to heal a number of physical as well as psycho