Home  Journals  Economic Analysis: Theory and Practice  1(448) - 2016 January

Venture investment in innovation projects: modern development trends and risks

Vol. 15, Iss. 1, JANUARY 2016

Article PDF Version

Received: 6 October 2015

Accepted: 25 November 2015

Available online: 24 January 2016

Subject Heading: INVESTMENT ANALYSIS

JEL Classification: G24, O32

Pages: 93-103

Subject The paper studies venture investment as a productive financial source of innovation project development having a number of advantages versus other sources of funds.
Objectives The aim is to review modern trends in venture investment development.
Methods The study draws upon the institutional methodology, using the methods of comparative assessment and differentiated approach to the analysis of principal areas of capital investment in foreign and Russian venture markets.
Results We justify the need for further theoretical and applied research of the venture investment process from the national and regional perspective on the basis of institutional methodology. The venture investment process entails various risks, particularly institutional, that are insufficiently studied in the economic literature. These risks exert decisive influence on the behavior and growth of the venture investment process. It is important to apply a differentiated approach to the development of priority areas of the process, considering the demands of socially oriented economic development and external economic threats.
Conclusions The findings may be useful for the management of innovation and venture institutions to define priority areas of venture investment in cooperation with science and technology and business associations.

Keywords: venture investment, differentiated approach, innovation project, institutional risks, priorities

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