Question

An interesting sub-discipline in the field of corporate finance has always been the venture capital system of funding emerging businesses With both changes in society and technology, the role of VC funding is changing.

Considering this please address the following prompts in your discussion:

• In your opinion how might the mechanics of new company funding change in the next 20 years?
• What impact, if any, will these changes have on VC funding?
• Provide examples to support your views.

Please be sure to validate your opinions and ideas with citations and references in APA format

Answer 1

Venture Capital industry has been changing over the past years. It has evolved more dynamically in terms of its funding, strategies etc One of the biggest changes that has been happening over the past years is the way the VC firms have been going global. They have started investing in various countries which was something not done in past. They started investing in countries like India, China etc.There are various start ups originating in developing nations which have huge potential.Also going global helps to mitigate various risks associated with it.VC has also been more involved with technology like use of AI using of simulations in its stratrgies etc. It has become more technology oriented. Also there will be lots of focus given on niche markets rather than focusing on macro level. Also it has been focuaing more on hedge startegies, Cryptos etc to mitigate the risk these days.