Key points are not available for this paper at this time.
Based on a survey of Singapore venture capital (VC)-backed firms, we find that environment, resource-based capabilities, strategy, and VC firms’ involvement affect the venture performance significantly. The environment is a major constraint within which a firm's strategy is developed. While managers formulate and implement strategies, these strategies do not determine the eventual success directly. The strategy formulated should be complemented by a firm's resource-based capabilities. Firms that do not match their strategy and resources could lead to unfocused and unproductive efforts. Evidence shows that the “fit” between resource-based capabilities and strategy partially affects the venture performance. Our study provides implications for both venture capitalists and entrepreneurs in finding the right partner and in cooperating with each other.
Wang et al. (Mon,) studied this question.