Drivers of Venture Capital and Private Equity Fundraising in Europe: Interactions Between Governance, Human Capital, and Innovation

This thesis investigates the determinants of venture capital (VC) fundraising across European countries, focusing on the interplay between governance, human capital, and innovation. Using a comprehensive dataset spanning multiple European nations, it employs regression analysis to identify key drivers of fundraising success, with the total funds raised per country serving as the dependent variable. Independent variables include innovation indicators (e.g., R&D expenditure, patent filings), governance metrics (World Governance Indicators), cultural dimensions (Hofstede indicators), sustainability indicators (Green Complexity Index), and human capital factors (education levels, STEM graduates). The study reveals how these factors collectively influence VC fundraising performance, shedding light on regional differences and offering actionable insights for policymakers and investors aiming to bolster the European venture capital landscape.