Mathematical Problems in Engineering / 2024 / Article / Tab 1 / Research Article
A Framework for Valuation and Portfolio Optimization of Venture Capital Deals with Contractual Terms Table 1 Strategy alignment measurement [
38 ].
Strategies Strategic Misalignment Measurement Reactive imitation Proactive localization Import substitution Creative imitation Early market entry Global niche Global innovation Dimension Product-market Maturity Existing:1 Emerging:0 Existing:1 Emerging (local/exsting (global):0 Emerging:0 Existing:1 Emerging:0 0−1 = −1 Growth potential Low:1 Moderate:2 Low:1 Moderate/high:2 /3 Very high:4 High:3 Very High:4 Market uncertainty Low:1 Moderate:2 Low:1 Moderate:2 High:3 Moderate:2 Very High: 4 Technological capability Technological capability, Tech. Capabilities (pioneer/follower) Local follower:0 Local follower:0 Local pioneer:1 Local pioneer/global follower:0 Global follower:0 Global pioneer:0 Global pioneer:0 0−1 = −1 R&D investment Low:1 Low:1 Moderate:2 Moderate:2 Moderate:2 High:3 High:3 Technological partners – Global:1 Local:0 Local/ global:0 or 1 Global:1 Global:1 Global:1 1−0 = 1 Priority of R&D – – Cost reduction:1 Product quality/cost reduction:0 or 1 Entry timing:0 Product quality Entry timing 0−1 = −1 Target market Target market Local:0 Local:0 Local:0 Local/global:0 or 1 Global:1 Global:1 Global:1 1−0 = 1 Degree of internationalization Low:1 Low:1 Low:1 Moderate:2 High:3 High:3 High:3
For example, if the assumed strategy of a VC is Import Substitution and the strategy of an investee is Early Market Entry, the misalignment strategy for the selection is calculated in the last column. Bold columns are examples of strategies and are relevant.