For several decades, studies of large companies internal corporate venturing (ICV) have shown that such events often exhibit significant cyclical. Companies can start with enthusiasm ICV initiatives, and then close them, and later launch new programs ICV again. Describes four common situations that occur in cycles of corporate venture. Argues that, if properly managed, corporate obligations ICV inclined fluctuate depending on the availability of financial resources and outstanding growth prospects of the business of the primary organizations. For example, if the corporation outstanding financial resources, but the growth prospects of the core business are perceived as insufficient, the company can start from the top down "total ICV drive", which is vulnerable to costly mistakes. If, however, the prospects for growth in the core business are perceived as adequate and there are several outstanding financial resources, top management is likely to perceive the ICV, as playing a major role. The factors influencing the cyclical ICV and suggests that companies can achieve better results if leaders recognize the strategic importance of internal corporate venturing activities and see them as a way to gain an understanding of new opportunities. "Hide
by Robert A. Burgelman, Liisa Valikangas Source: MIT Sloan Management Review 11 pages. Publication Date: July 1, 2005. Prod. #: SMR175-PDF-ENG
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