Research on Diversification and Financing Constraints of Technological Innovation Companies

DOI

10.2991/ichssd-19.2019.15How to use a DOI?

Keywords

Technological innovation, Financing constraints, Diversification

Abstract

This paper uses a variable investment analysis framework to examine the impact of the investment of two independent innovation projects by technology innovation company operators on their financing capabilities. The results show that simultaneous diversification has improved equity multipliers and borrowing capacity, and diversified investments have increased the operator's expected net utility. The higher the degree of project correlation, the more difficult it is for operators to obtain financing.

Copyright

© 2019, the Authors. Published by Atlantis Press.

Open Access

This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

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TY  - CONF
AU  - Chun-mei Liang
AU  - Ming-rui Zhang
PY  - 2019/07
DA  - 2019/07
TI  - Research on Diversification and Financing Constraints of Technological Innovation Companies
BT  - Proceedings of the 2019 4th International Conference on Humanities Science and Society Development (ICHSSD 2019)
PB  - Atlantis Press
SP  - 79
EP  - 83
SN  - 2352-5398
UR  - https://doi.org/10.2991/ichssd-19.2019.15
DO  - 10.2991/ichssd-19.2019.15
ID  - Liang2019/07
ER  -