Institutional Determinants of Private Equity Market in Czech Republic

Result code in IS VaVaI

<a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F00216305%3A26510%2F17%3APU125961" target="_blank" >RIV/00216305:26510/17:PU125961 - isvavai.cz</a>

Result on the web

<a href="http://www.economics-sociology.eu/?541,en_institutional-determinants-of-private-equity-market-in-czech-republic" target="_blank" >http://www.economics-sociology.eu/?541,en_institutional-determinants-of-private-equity-market-in-czech-republic</a>

DOI - Digital Object Identifier

<a href="http://dx.doi.org/10.14254/2071-789X.2017/10-4/7" target="_blank" >10.14254/2071-789X.2017/10-4/7</a>

Result language

angličtina

Original language name

Institutional Determinants of Private Equity Market in Czech Republic

Original language description

A well-functioning private equity and venture capital market is affected by a range of institutional aspects. This study intends to answer the question on what is the current tax and legal environment for private equity and venture capital investments in Czech Republic as previous studies have emphasized that a rather poor scope of resources available. Qualitative data with content analysis proved to be the best way to assess the institutional framework. Data collection methods cover a comparative analysis of scientific literature documents and reports, as well as primary data from interviews with experts in the industry. The results of both secondary and primary data analysis were categorized and serious gaps in the institutional framework were identified and discussed. Our results indicate that the issue of legal and organisational structure suitable for private equity and venture capital funds may be resolved through a national equivalent to a Limited Partnership which has already been adopted into Czech law. However, a tax handicap was identified implying that it is necessary to amend the tax legislation so that the legal regulation extends the tax exemption. Another amendment should then be directed towards eliminating or mitigating the barriers imposed on pension. We believe that our findings provide valuable implications for the government, banks, stock exchanges and venture capital industry while formulating new strategies how to increase the level of investments in this specific environment of Czech Republic.

Czech name

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Czech description

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Type

J_imp - Article in a specialist periodical, which is included in the Web of Science database

CEP classification

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OECD FORD branch

50202 - Applied Economics, Econometrics

Project

—

Continuities

S - Specificky vyzkum na vysokych skolach

Publication year

2017

Confidentiality

S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů

Name of the periodical

Economics and Sociology

ISSN

2071-789X

e-ISSN

2306-3459

Volume of the periodical

10

Issue of the periodical within the volume

4

Country of publishing house

PL - POLAND

Number of pages

16

Pages from-to

83-98

UT code for WoS article

000418801000008

EID of the result in the Scopus database

2-s2.0-85039853726