7 Bilateral relations and venture capital financing in India
Nivedita Sinha and Shreya Biswas
1. Introduction
Does a bilateral relationship drive venture capital (VC) fund flows between two countries? Extant research establishes a link between bilateral political relations and FDI flows (Li & Vashchilko, 2010; Cuervo-Cazurra et al., 2007; Song et al., 2020). However, there is a gap in the literature in the relationship between bilateral ties and international VC investment flows. It seems intuitive to suggest that a bilateral relationship will affect the allocation of international resources such as foreign venture capital funding between two partner countries. There is enough factual information suggesting a reduction ...
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