This paper analyzes the short- and long-term stock price performance of the listed firms acquired by non-listed private firms. Analyzing 136 back-door listing cases observed during the period from 2000 to 2005, three types of back-door listing are identified: acquisition of control only, acquisition of control followed by merger within 2 years, and finally merger only. The short-term cumulative abnormal returns of total sample are significantly positive. The long-term buy-and-hold returns of total sample, however, show that the target firms perform much worse than their benchmark portfolios. These results allow us to conclude that the back-door listings fail to bring about long-term wealth increment and that the short-term returns involve some market overreaction. We also compare the acquisition of control only type against the last two types which all can be classified as merger. The result reports that the long-term performance is better in acquisition than in merger, which support the management entrenchment theory. Furthermore, the cash payment has better long-term performance than stock payment, which confirms previous researches.

This study investigates the effect of technology guarantee by KIBO Technology Fund on the profitability and the R&D investment of venture firms. For that, we analyze the financial data of small and medium-sized enterprises guaranteed via the technology evaluation from year 2001 to year 2006. Profitability is measured with the ratio of pretax income to sales, and R&D investment as its ratio relative to sales. The results of regression after controlling for firm size, guarantee amount, and debt ratio show that the pretax income ratio of venture firms increases more highly than that of non-venture firms over two years, particularly in the second year after technology guarantee. The R&D investment ratio of venture firms is also found to increase more highly than that of non-venture firms in the second year. When additional regressions are performed after partitioning venture firms into start-ups which are 3 years old or less and grown-ups otherwise, the increase of the pretax income ratio and the R&D investment ratio of venture start-ups is much higher, but that of venture grown-ups is relatively weaker over two years after technology guarantee. This study supports that technology guarantee has the positive effect to improve the profitability and to enhance the R&D investment of venture firms, particularly venture start-up firms.

Analysing the effects of human resource development on business performance in venture companies at Daedeok Innopolis with the path analysis, we can find the following results.
First of all, it is revealed that human resource development efforts lower the separation rate of workers and improve the business performance of venture companies.
Thus its policy implications are as follows. Firstly, the aspects of supporting human resource development should be introduced newly and supplemented in the policies of promoting venture business rather than focusing on aiding their financial difficulties mainly. Secondly, financial measures aiming at supporting the education and training of their workers should be much strengthened, too. Thirdly, considering the fact that venture companies can not afford the education and training of their workers positively because of the serious restrictions in their working hours and resources, it is necessary that a ceratin kind of venture business-specific training consortium programs should be developed and supported through partnership.

This study analyzed the effect of Korean venture firms’ capabilities on degree and the scope of internationalization, based on resource-based view of a firm. Venture firms’ capabilities were based on technological capability, marketing capability, financial capability, and human capability. In order to test the hypotheses, we did a random-effects GLS regression analysis to measure the degree of internationalization, and random-effects negative binominal regression analysis to measure the scope of internationalization. Analyses were based on 9 years of panel data of 219 manufacturing firms among KOSDAQ registered venture firms between 1999 and 2007. The result showed that among 4 aspects of capabilities - technological capability, marketing capability, financial capability, human capability, with an exception of marketing capability, all three of them had positive effect on venture firms’ degree and scope of internationalization. Through the longitudinal approach of using the penal data of 9 years, this study overcame the limitation of prior studies, which could not take the sensitivity of venture firms towards the environment into an account, since they were mostly cross-sectional study that are based on analysis at a particular point of time.

In this paper, we analyse empirically the relations between R&D investment and market value of innovation type small and medium sized enterprises(SMEs) listed on Korea Securities Market and Kosdaq Market of Korea Exchange. The main results of this study can be summarized as follows.
In the traditional valuation model, innovation variables that may create valuation of intangible assets have the significant and positive effects on the SMEs' value. R&D investment, asset-counted R&D investment, and cost-counted R&D investment that are proxy variables of innovation activities have the positive effects on the SMEs' value. Asset-counted R&D investment has more effects on the SMEs' value than cost-counted R&D investment. Innovation variables have more effects on the innovation type SMEs' value than the non-innovation type SMEs' value.
Conclusively, innovation type SMEs' listed on Korea Exchange can create firm's value through the innovation activities. Therefore, if managers can properly understand of the relations between R&D investment and market value of SME, they can increase SMEs' value through the innovation activities like R&D investment. This is encouraging result for Korea government as it has implemented many policies to commit to R&D investment for innovation type SMEs.
This is only early study of the relations between R&D investment and market value of innovation type SMEs listed on Korea Exchange. It is necessary to expand sample firms and use more elaborate analysis methods.

This paper is an analysis of the innovation process, and the factors associated with each step based on the STEPI's Korean Innovation Survey (KIS) which is used to understand the condition of the technological innovation in Korea.
The Crepon, Duguete, and Mairessee(1998) model(herein referred to as the "CDM model") is used to analyzed the innovation process. The CDM model is based on an innovation flow beginning with innovation investment (including R&D), leading to innovation, and finishing with productivity.
First, the factors affecting innovation investment are firm characteristics, government support, and the factors hampering innovation, The statistical results revealed that firm size and government support positively affect innovation investment, whereas majority of the factors hampering innovation affects innovation investment negatively.
The factors affecting the innovations used are the firm's characteristics, the innovation investment activities, the factors hampering innovation, and the innovation strategy. As a statistical result, the research conducted both internally and externally in a part of innovation investments largely affects the innovation. The innovation strategies affects positively on the innovation, while the majority of factors hampering innovation affects negatively the innovation.
The factors affecting the productivity used are the firm's characteristics and innovations. As a result, an increase in firm size increased productivity, and an increase in the innovation increased productivity somewhat.

Korean venture businesses achieve EXIT strategy by more various method, and wished to help so that can choose EXIT strategy that is fit in circumstance that venture business is placed.
IPO, M&A, and A&D are representatively used as EXIT strategy of Korean Venture Business. M&A means factor with merger, can reclaim investment by is in factor and sells venture business by target of undertaking. A&D is used by method that reclaim investment means undertaking development or acquisition and development by thing which compose usual R&D and M&A, and enhance enterprise's value through acquisition and development and does that sell this again.
In this way, because EXIT strategy is various method, and considers growth of enterprise of EXIT strategy achievement Tang poetry, debt ratio, fluidity, profitability suitable that EXIT strategy must. Did so that can choose EXIT strategy more easily applying to model who searches relation of growth by EXIT strategy, debt ratio, fluidity, profitability etc. by studying model example by each example in two studies and presents this in this study.