Venture capital’s role in driving nascent enterprises to industry market leaders

dc.contributor.authorKato, Ahmed I.;
dc.contributor.authorManchidi, Ntise H.
dc.date.accessioned2025-08-25T12:24:08Z
dc.date.available2025-08-25T12:24:08Z
dc.date.issued2025-04-03
dc.description.abstractVenture capital (VC) has attracted considerable attention from researchers and policymakers for its role in helping high-growth companies become industry leaders. However, the exact function of VC within the region remains unclear. This study examines the vital role of VC in nurturing high-growth enterprises in Uganda and Kenya. Analyzing data from 61 VC firms highlights how effective VC financing and supportive regulatory environments significantly boost the growth of these firms in the region. VC investment account for 25.5% of growth in these firms, showcasing its crucial role, especially for those without access to traditional funding. The research underscores the critical need for expanding VC investments in East Africa to facilitate the emergence of more industry market leaders. It provides valuable insights for policymakers, investors, and entrepreneurs seeking to promote regional entrepreneurial growth. The study contributes significantly to the literature on startup development in emerging markets, emphasising the importance of considering the unique context of emerging markets when assessing the effectiveness of VC investments. However, further research is needed to explore the specific mechanisms through which VC financing drives firm success and investigate the long-term impact of VC on the sustainability and growth trajectory of these businesses.
dc.identifier.citationKato, A. I., & Manchidi, N. H. (2025). Venture capital’s role in driving nascent enterprises to industry market leaders. Cogent Business & Management, 12(1). https://doi.org/10.1080/23311975.2025.2484458
dc.identifier.issnISSN 2331-1975
dc.identifier.issnEISSN 2331-1975
dc.identifier.urihttps://nru.uncst.go.ug/handle/123456789/12018
dc.language.isoen
dc.publisherTaylor & Francis group
dc.titleVenture capital’s role in driving nascent enterprises to industry market leaders
dc.typeArticle
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