Business Incubation Strategy of High-Tech Venture Firms in a Science Park - Technopolis: Best Practices for Science and Technology Cities - page 141

1 Introduction
As part of a goal of regional economic development, venture businesses are of
primary importance because of their potential for job creation in the areas of high
technology and new products in the knowledge-based society of the twenty-first
century. In a process of regional economic development and innovation, high-tech
venture business is a basic ingredient for developmental success in terms of long-
term commitment and persistence. Venture business means a firm which some of
the few creative business challengers establish in order to commercialize their
innovative technology using highly advanced technical power and technological
knowledge. These businesses may take high risks because of poor capital even
with high success possibilities, but also have high success potential on the basis of
unique technical knowledge and new advanced technology. An increasingly
popular tool for creating high technology-based venture businesses is the science
park. Hence, many universities and cities promote science parks, since small- and
medium-sized venture businesses from science parks create employment and aid
municipal tax bases. These are the reasons for nurturing small businesses and
science parks as an effective method of local economic development. As a matter
of fact, among the strategic resources of a business, the cultural climate is the most
important factor. Strategic resources of a business do not lie only in capital or
technology, but also human capacities and adaptability.
In addition, when some of the venture firms from science parks grow over time,
employment increases and, capital inflow and other development outcomes have a
noticeable impact. These are the reasons for nurturing venture businesses as an
effective way of economic development and regional innovation.
With these considerations in mind, this chapter aims to find a way of supporting
technological commercialization and high-tech venture business promotion in
science parks.
The chapter begins with a theoretical review of science parks and technology
business incubation as a whole. The second part of the chapter describes model of
business incubation in a science park. The third section discusses key issues for the
application of this model in Daedeok and suggests development strategies for the
future.
2 Theoretical Review
2.1 Science Park and Technology Business Incubation
An increasingly popular tool for creating high technology-based venture busi-
nesses is the science park. Hence, many universities and cities promote science
parks since small- and medium-sized venture businesses from science parks create
employment and aid municipal tax bases. These are the reasons for nurturing small