Purpose – Maintaining cooperation and avoiding opportunism is essential for a healthy venture capitalist (VC) – entrepreneur relationship. Therefore, the purpose of this paper is to explore the role of control and trust for developing a cooperative VC-entrepreneur relationship in an agency environment in the Indian context. Design/methodology/approach – The study adopts a multiple case study approach to investigate ten VC-entrepreneur dyads. It uses data collected from both primary and secondary sources. Content analysis was used as the data treatment technique. Findings – The empirical evidence indicates that VC-entrepreneur relationships emerging in the early stages suffer from low agency risks and use more of relational mechanisms to curb opportunism and develop cooperation while relationships at an advanced stage suffer from higher agency risks and employ more of control mechanisms to address it. Practical implications – The findings can be utilized to enhance cooperation in VC-entrepreneur relationship by identifying the appropriate context to apply relational or control mechanisms, which would eventually lead to better performance of the venture. Originality/value – This distinction results in the development of a theoretical model which shows how the dual governance mechanisms of control and trust interact with one another to affect confidence in partner cooperation as an entrepreneurial venture raises multiple rounds of venture capital across various stages. The data collected from Indian VC-entrepreneur dyads offers a rich description of the relationship dynamics across the Indian entrepreneurial ecosystem.

This paper examines the association between board size and corporate financial performance using data on 504 corporations belonging to 18 industries. The results suggest that the size of the board plays an important role in influencing the financial performance of corporations. The analysis shows that the performance improves if the board size increases, but the contribution of an additional board member decreases as the size of the corporation increases. The results, however, fail to indicate any significant role of directors' equity ownership in influencing the performance.

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Purpose – The objective of this article is to highlight the important role played by an entrepreneur’s network in the survival and performance of new ventures. Design/methodology/approach – The article is based on a case study of a new venture, where data were collected from various stakeholders through interviews. Findings – Entrepreneurs can overcome their liability of newness, enhance their competitiveness and increase their firm’s value by utilizing their networks. The case study demonstrated in the study is a good example of how an entrepreneur utilized his strong ties and weak ties to establish and enhance the performance of his venture. Practical implications – The findings can be utilized by entrepreneurs worldwide to reduce the mortality rate of their venture and enhance their performance. Originality/value – The article demonstrates, through a case study, a unique business model of an entrepreneurial venture that leverages the power of networks to achieve superior performance.

PurposeThis article aims to explore the importance of trust and reputation in new ventures that are raising venture capital.Design/methodology/approachThe article is based on an interview with founding partners of an eminent Indian venture capital firm, conducted by an independent interviewer.FindingsVenture capitalists are moving from a more formal approach for investing to a more relational one. Other than traditional methods of selecting and protecting their investments, the venture capitalists are resorting to trustworthiness of entrepreneurs and reputation as vital deterrence mechanisms.Practical implicationsThe findings can be utilized to reduce contracting costs and develop a more efficient venture capitalist‐entrepreneur relationship.Originality/valueThe article proposes new criteria which the entrepreneurs should be aware of before trying to raise venture finance.