Venture capitalists not only
supported Edison's R&D with their own money but had also
mobilized additional funds using their financial
connections.11-11
entrepreneurs had played crucial role bringing his
inventions the marketplace.
The formation the Edison electric lighting
organization had brought Edison into contact with several
groups investors. These were the first people approached. This strategy had some important
advantages; involving other capitalists experimental
projects Edison could maintain several lines experiment at
the same time.
J Hood Wright, one the most active partners Drexel. sought partners finance the work the
lab, and create joint-projects which Edison and financiers
shared the costs research. also spread the risk and limited his loss if
an experimental program failed produce results. some cases they acted entrepreneurs well
as financiers, taking active interest developing new
technology and managing its introduction. Edison never
underestimated the importance finance innovation; knew
that "the most difficult thing for inventor get hold
1
of people who will back him up. Men like George
Harrington and Jay Gould had given him the capital move from
machine shop operator professional inventor the 1870s,
and the 1880s Edison looked this quarter finance his
grand strategy." therefore began the
search for financial support before the laboratory was
completed, contacting several venture capitalists
