Does the strategy even go that far? I thought it was more like 1) VCs invest money in companies hoping that some of them grow very fast 2) some of them do gro

Does the strategy even go that far? I thought it was more like 1) VCs invest money in companies hoping that some of them grow very fast 2) some of them do grow fast, so more VCs invest more money 3) the really really big companies IPO and the VCs make a lot of money All of this can happen way before your step 3.