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Multiple Criteria Decision Making in Finance, Insurance and Investment pp 9–30Cite as

Multiple Criteria Decision Making and Goal Programming for Optimal Venture Capital Investments and Portfolio Management

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Part of the book series: Multiple Criteria Decision Making ((MCDM))

Abstract

The venture capital market plays a significant role in providing capital to a new feasible business idea (new product, service, or retail concept) and businesses of different type. This chapter focuses on the way venture capitalists make their investment decision, a process involving several conflicting and imprecise criteria. We propose three different models to solve these complex decision making contexts, namely a deterministic goal programming model with satisfaction function, a scenario-based stochastic goal programming model with satisfaction function, and a fuzzy goal programming formulation. The three models have been applied to three concrete examples using real data obtained from some Italian venture capital funds. It turns out that these models are easy and simple to be implemented and analyzed, and represent an implementable approach for both scientists and practitioners.

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Author information

Authors and Affiliations

  1. Department of Management, Ca’ Foscari University, Venice, Italy

    Cinzia Colapinto

  2. Department of Economics, Management and Quantitative Methods, University of Milan, Milan, Italy

    Davide La Torre

  3. Department of Applied Mathematics and Sciences, Khalifa University, Abu Dhabi, UAE

    Davide La Torre

Authors
  1. Cinzia Colapinto
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  2. Davide La Torre
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Corresponding author

Correspondence to Cinzia Colapinto .

Editor information

Editors and Affiliations

  1. College of Business Administration, University of Bahrain, Sakhir, Bahrain

    Minwir Al-Shammari

  2. College of Business Administration, University of Bahrain, Sakhir, Bahrain

    Hatem Masri

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Colapinto, C., La Torre, D. (2015). Multiple Criteria Decision Making and Goal Programming for Optimal Venture Capital Investments and Portfolio Management. In: Al-Shammari, M., Masri, H. (eds) Multiple Criteria Decision Making in Finance, Insurance and Investment. Multiple Criteria Decision Making. Springer, Cham. https://doi.org/10.1007/978-3-319-21158-9_2

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