Die volkswirtschaftliche Bedeutung von Private Equity

Private equity is a very specific institutional way of providing private capital to enterprises. The contribution inquires why it increased its economic importance and public visibility over the last years. The role of private capital within the framework of the innovation theory, transaction cost theory and the risk theory is assessed. Private equity is a specific way of organizing the procurement with private capital for enterprises in risky markets in order to efficiently reducing transaction costs. More and above, it is important for credible market-entry strategies. As most markets are incomplete and because of tax regulations which cannot be considered to be efficient under present conditions, the economic role of private equity has increased. The increase economic role, but also importance in the firm, necessitates a steering of enterprises along value-oriented objectives. As the “hype” has decreased in summer 2007, the article ends with an assessment of future prospects.

25. August 2008

Authors Ulrich Blum

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