Corporate Involvement and the Performance of Internal Corporate Ventures

In this paper, we theoretically derive and empirically analyze various forms of corporate involvement and discuss how they influence the performance of internal corporate ventures (ICVs). Drawing on participative management as a theoretical lens, we theorize about the impact of each of three forms of corporate involvement (corporate framework setting, corporate engagement, and corporate mandates) on ICV sales performance, generating three sets of hypotheses that we confront with novel data drawn from a representative, hand-collected sample of Spanish corporations hosting 86 ICVs. Econometric analysis in form of a double-hurdle model takes account of the truncated nature of ICV sales data, tests our hypotheses, and reveals important insights for scholars, managers, and intrapreneurs.