Introduction

Abstract

In their strive for growth, large established companies are faced with multiple strategic options. They may grow organically by investing in their core businesses, merge with other companies, acquire businesses, build alliances, act as a corporate venture capital investor or create new businesses within their corporate boundaries (Keil 2004, p.816; Schildt et al. 2005, p.497). Within this set of options large established companies chose growth based on radical innovation or New Business Creation (NBC) due to the potential high future returns and accept the associated high risks (Hauschildt & Salomo 2011, pp.69–70; O’Connor & McDermott 2004, p.12). NBC activities involve long development times (sometimes more than ten years) and multi-million Euro investments before companies can benefit from their activities (O’Connor & McDermott 2004, pp.11–12).