Deck 13: Developing Businesses and Talent Through Corporate Venturing

Question 1

Two critical considerations in establishing corporate ventures are who funds them and who owns them.This suggests four combinations.Which of the following is not a viable combination?

A)Enabling - resources and support, but no formal ownership
B)Advocacy - clear ownership, but no dedicated resources
C)Outbound - ownership and funding by the venture itself
D)Opportunistic - no dedicated resources or formal ownership

Answer 1

C

Question 2

Which of the following roles is necessary to manage a corporate venture?

A)Executive champion
B)Research director
C)Internal gatekeeper
D)Knowledge broker

Answer 2

A

Question 3

Direct integration of corporate ventures is the best structure under what conditions?

A)Significant and immediate impact on the core business
B)Strategic and competitive pressures
C)To develop new technological capabilities
D)Regulatory constraints on the core business

Answer 3

A

Question 4

Independent business units are a common choice for corporate ventures, but what is a significant drawback?

A)Isolation of risk to the corporation
B)Require less direct monitoring
C)Allow venture to focus
D)Sharing resources and personnel

Question 5

Why is relying only on financial performance a poor measure of venture success?

A)Values are very sensitive to the timing of assessment
B)Corporate ventures do not need to make a profit
C)Strategic factors are more important
D)Growth is more important than profitability

Question 6

Which of the following is not a common motive for corporate venturing?

A)Market Diversification
B)Competitive threat
C)Grow the business
D)Develop new capabilities

Question 7

Which of the following is a common basis of relatedness?

A)Industry or sector
B)Process technology
C)Customer segment
D)Intellectual property

Question 8

A corporate entrepreneur shares many characteristics with other entrepreneurs, but what is a key difference?

A)Advocates of change
B)Political and social skills
C)Ambition and drive
D)Opportunity recognition

Question 9

Which of the following is not a common design option for a corporate venture?

A)Independent business unit
B)New venture department
C)Spin-off new venture
D)Direct integration

Question 10

What is a key factor is deciding the structure of a corporate venture?

A)The maturity of technology and markets
B)The strategic importance of the corporate venture
C)The degree and type of integration between the corporation and venture
D)The level of investment required by the corporate venture