Which of the Following Is True About Gaining Access to Venture

question 334

Multiple Choice

Which of the following is true about gaining access to venture capital?

• A) It is relatively easy to gain access to the venture capital market provided you have a good product.
• B) Venture capitalists often choose their investments by reviewing unsolicited proposals.
• C) The venture capital market is very much an "introduction" market; that is, you need personal contacts to gain access.
• D) Venture capitalists rarely rely on informal networks of lawyers, accountants, and bankers to help identify potential investments.
• E) If you wish to gain access to venture capital financing, it would likely do you little good to know someone who obtained venture capital themselves.

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Definitions:

Neutral Third-party

An unbiased individual or entity involved in resolving a dispute or negotiation, not favoring either side involved in the conflict.

Dispute Resolution

Methods and procedures that are used to resolve conflicts or disagreements among parties, which can include negotiation, mediation, and arbitration.

Strike Replacements

Workers hired by an employer to perform the duties of striking employees during a labor dispute, often to maintain operations.

Secondary Boycott

A form of protest where individuals or entities refuse to do business with or purchase products from a company that does business with a targeted entity, usually to exert pressure.