Question

if you invest in a new venture, which decisions will you allow the entrepreneur to make...

if you invest in a new venture, which decisions will you allow the entrepreneur to make and which will you want to make as a major investor? Why? How should the allocation of decisions change as the venture evolves, assuming that is successful and grows? How should the allocation of decisions evolve if the venture is not successful?

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Answer #1

If I get to invest in a new venture, the entrepreneur us indeed allowed to take the decisions that are optimally beneficiala both in terms of sales as well as costs and this efficiency factor is the one which matters the most and the entrepreneur with this outlook will be my investor. The expansion of the venture should also be optimally efficient considering that the old strategies for marketing and production are successful, I insist the same should be used here. The immediate alternate or the better method to minimise losses in a given short run is the strategy which I get to prefer a lot whenever I find that the venture is indeed not successful.

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