• The strategic value of corporate venture capital investments

      Puricel, Ecaterina; Hacklin, Fredrik; Battistini, Boris (2017)
      It is well established that firms engage with corporate venturing activities for both financial and strategic goals. Although the financial goals and benefits of corporate venture capital (CVC) investments are well understood, only limited efforts have been made to describe and elaborate on the less tangible elements of strategic value CVC investments can bring to a firm. This study uncovers the strategic benefits of CVC investments by examining an investment case that was perceived as a success in the narrative of the firm, despite having underperformed with regard to its financial goals. We theorize and develop on the core mechanisms of “ecosystem participation”, “sustained engagement” and “resource matching”, which jointly constitute value drivers of CVC. Our study contributes to the literature on corporate entrepreneurship by offering a more nuanced understanding of central mechanisms behind CVC, and offers a novel perspective on the notion of value at large.