Why would companies backed by more-established venture firms have higher improvement in Total Factor Productivity (TFP)? Write your opinion supported by market facts.

SEU Finance Distressed Business Shutdown Decision Questions

1- Under which circumstances might it make the most sense to shut down a distressed business rather than inject additional capital or engage in a sale process? Briefly discuss those circumstances in your own words.

2- Why would companies backed by more-established venture firms have higher improvement in Total Factor Productivity (TFP)? Write your opinion supported by market facts.
(References are also required)