Industries suitable for venture enterprises

The direction of venture capital in high-tech industries is mainly concentrated in the high-tech field. Because high-tech enterprises often have high technology content, high investment risk and small scale, but they have great development potential. Compared with traditional industries, high-tech industries will form technical barriers in the process of development because of their advanced technology, which makes it difficult for other competitors to enter the market smoothly. So once successful, you can get huge excess profits in a short time.

Most venture capitalists are willing to invest most of their money in high-tech products or services. Statistics show that among the hot industries of venture capital in China, there are high-tech industries: first, electronic information industry, computer equipment, network communication, semiconductor and other industries, followed by biology, medicine and medical equipment industries. High-tech agriculture, software industry, new materials, environmental protection industry, optical, mechanical and electrical integration, new energy and so on have also received a considerable amount of venture capital.

2. Traditional industries

Coffee shop with venture capital potential

Compared with high-tech industries, traditional industries have low risks and stable profits. Venture capitalists pay attention to high growth rather than high risk, and traditional industries can meet the requirements of venture capitalists to avoid risks. No matter at home or abroad, venture capitalists have been investing in both traditional and high-tech industries. In China, the investment in traditional projects is even earlier than that in high-tech projects. The change of investment direction from high-tech industry to traditional industry has become a trend of the development of venture capital industry in China. At present, manufacturing and financial services account for a considerable proportion of venture capital projects in China, second only to electronic information industry, biomedicine and medical device industry. The traditional industries invested by venture capitalists are not sunset industries in the traditional sense. However, due to various reasons, it has entered a new growth period. At present, there are two kinds of traditional projects favored by venture capitalists in China's high-growth industries: one is products that can be accepted and consumed by China's emerging middle class. With the development of China's economy and the growth of national income, many traditional industries are booming, such as coffee shops, restaurants, dairy, fruit juice, houses and automobiles. The other is because of the addition of high-tech components. Traditional industries, such as traditional Chinese medicine and modern medical care, have undergone qualitative changes in products or product operation modes.