HY Capital: Making Venture Capital Investment Decisions in a Changed Environment

內容大綱
At the end of 2017, the director of HY Capital, was facing an investment decision. Two years earlier, HY Capital had invested in Dalian New Vision Media Co. Ltd. (New Vision), a company working on augmented reality products for early childhood education. The investment provided New Vision with sufficient funds to enter the market. However, after a quick success, New Vision had saturated the market and could not make further significant progress. Thus, New Vision’s management team proposed to alter the company’s strategy to move into kindergarten to grade 12 after-school education. The strategic shift could be lucrative, but it was risky and would require more funds to support product development. The director was now wondering, should HY Capital support New Vision with further investments or just exit the investment?
學習目標
This case is intended for both graduate- and executive-level courses in investment management. The case deals with venture capital investing in entrepreneurial enterprises. After working through the case and assignment questions, students will be able to<ul><li>understand the process of making an investment decision;</li><li>analyze the types of investment approaches and conditions for their use;</li><li>determine how and why venture capitalists participate in project governance; and</li><li> understand the measures that venture capitalists should take when the investment environment has changed.</li></ul>
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