4 ms·
Do "corporate VC" people have the mindset of a VC in that they're aware that most investments will fail and that's ok as long as a few "moonshots" go really wel
by mcny 8y ago
Do "corporate VC" people have the mindset of a VC in that they're aware that most investments will fail and that's ok as long as a few "moonshots" go really well?
Was Yahoo! buying tumblr an example of corporate VC? How about Facebook buying Instagram?
- JumpCrisscross 8y ago> Do "corporate VC" people have the mindset of a VC in that they're aware that most investments will fail and that's ok as long as a few "moonshots" go really well? In my experience, the VCs themselves do. Their bosses say they do (hence why the corporation started a VC arm). But after a few failures, that tends to change. (Analog: why many corporate cultures try and fail at emulating Skunkworks.) > Was Yahoo! buying tumblr an example of corporate VC? How about Facebook buying Instagram? No, that’s M&A. Generally when one says Company A bought Company B, that’s corporate finance. GM investing in Lyft is corporate VC. Tyson investing in Beyond Meat is corporate VC. Minority stakes, early-stage companies and a strategic motive describes corporate VC.
- mattmg83 8y agoIn my fund we do, even our CEO reminds us that it’s ok some of our bets will fail, but the rest of the organization is a bit less in tune and thinks we just are a new stage to the M&A process