This thesis aims to establish the effective corporate venturing process in Korea. Based on the review of various literatures and corporate venturing cases in US and Korea, stages of corporate venturing process are identified such as; i) idea generation, ii) organization of new venture team, iii) venture execution and application of venturing results. Also research framework and five preliminary propositions are generated.
To validate these propositions, in-depth case studies are performed including two overseas firms (3M and Xerox) and five Korean firms. Content analyses for overseas firms and interviews with Korean firms are carried out.
Qualitative analysis is done for the corporate venturing process of each company through longitudinal and in-depth case studies. In addition, through comparing overseas firms and Korean firms, several success factors are found which can be summarized as follows:
First, the types of corporate venturing in Korean firms are somewhat different from those of US firms. Usally, the Korean corporate venturing runs internal ventures as well as venture spin-off.
Second, Korean corporate ventures generate and select the business ideas in official manner compared to US firms. Also, Korean corporate ventures do not impose responsibility when they fail in the business.
Third, as presented in the research model, the corporate venturing process of Korean and overseas firms operates according to the sequence of stages such as idea generation, organization of new venture team, venture execution and application of venturing results.
Finally, the types of venture projects in Korean firms are typically divided into three categories such as; i) technology application type, ii) new business activation type and iii) related diversification type according to the purpose of their corporate ventures and relatedness of business areas for new venture business.
Through these case studies, the types of venture projects in Korea are identified. In addition, strategic decision flow diagram of corporate venturing process with critical issues for each stage is presented.
The results of this study will be useful to introduce the new venturing system and also to renovate the venturing process in existing companies.
