THE IMPACT OF ARTIFICIAL INTELLIGENCE ON VENTURE CAPITAL SOURCING AND DUE DILIGENCE.

Autor: Jo, Hoje, Juarez, Ahiti, Rossi, Alan, Strauss, Carter, Ressler, Logan
Předmět:
Zdroj: Global Journal of Entrepreneurship (GJE); 2024 Special Issue, Vol. 8, p12-33, 22p
Abstrakt: This paper investigates the transformative influence of Artificial Intelligence (AI) on Venture Capital (VC) sourcing and due diligence processes. Defined within the VC context as technologies simulating human intelligence, encompassing Machine Learning (ML), Natural Language Processing (NLP), and predictive analytics, AI emerges as a potential solution to challenges in traditional manual methods. Recognizing limitations like bias, subjectivity, data overload, ethical problems, and other adverse effects of AI on VC industries, the study emphasizes the need for innovation and its possible adverse effects. The overview of AI technologies in VC details applications underscores the growing importance of innovation's role in automating tasks. Nevertheless, VC firms use AI across their workflow to complement their team's skill set and decision-making, guiding everything from sourcing and due diligence that can expand to portfolio management, exit, and global dimensions. The potential disruptions and opportunities underscore the importance of responsible AI use, ethical considerations, and a prudent approach to leverage technology for informed decision-making and sustainability. [ABSTRACT FROM AUTHOR]
Databáze: Complementary Index