Start-up Actions and Outcomes: What Entrepreneurs Do to Reach Profitability (original) (raw)

This paper investigates the startup actions taken by nascent entrepreneurs and how these actions influence the outcomes of their ventures, particularly profitability. Utilizing data from the Panel Study of Entrepreneurial Dynamics (PSED), it analyzes a sample of 2,500 nascent firms across various countries. Key findings indicate that a diverse range of startup activities correlates positively with reaching profitability and reducing business terminations, while certain actions, such as extensive business planning, may have a counterproductive effect. The study highlights the implications of these results for aspiring entrepreneurs and policymakers.