International Conference on Engineering and Business Management (EBM 2010 PAPERBACK)

Chengdu,China,China,3.24-3.26,2010

ISBN: 978-1-935068-05-1 Scientific Research Publishing, USA

Paperback 6066pp Pub. Date: March 2010

Category: Engineering

Price: $280

Title: Assessment and Decision Research of Venture Capital Project Based on Prospect Theory
Source: International Conference on Engineering and Business Management (EBM 2010 PAPERBACK) (pp 1569-1572)
Author(s): Jun ZHAO, School of Economics & Management,Nanjing University of Information Science & Technology,Nanjing,China,210044
Abstract: Abstract: Venture capital is a field with high risk. It is limited to assess a venture capital project taking reasonable decision maker as presumption and using traditional theory of utility function. This paper discusses the application of prospect theory in behavioral finance to venture capital assessment and decision, constructs a venture capital assessment system with non-utility decision object, and analyzes the whole assessment and decision process of venture capital project based on prospect theory. The analyzing outcomes of this paper could be taken as an important criterion for venture capital project assessment, and have instructive implication to venture capital corporations.
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