When Do Venture Capital Firms Learn From Their Portfolio Companies?
The authors examine when venture capital firms (VCFs) learn from their portfolio companies. They argue that VCF experience itself, the specific configuration of the knowledge bases of the two parties, the quality of the relationship, and the ongoing performance of the venture will affect the amount of learning a VCF will derive from a specific investment.
Link
http://www.FEB.UGent.be/fac/research/WP/Papers/wp_04_222.pdf