Strategic Background of the Start-Up—Qualitative Analysis (original) (raw)

The Structure of the Start-Up Business Model—Qualitative Analysis

Sustainability

The aim of the research is an in-depth and detailed knowledge of the start-up business model, which is structured according to Canvas visualization. The research sample contains 106 start-ups operating in Slovakia. Each start-up was researched by a member of the research team, who personally recorded the statements of the founder. The research results are based on qualitative analysis and synthesis of statements of the founders of start-ups. The main results of the research are a summary view of the business model of the examined start-ups, which expresses the peculiarities of the start-up business making, including priorities within its blocks, and the identification of space for variations in the business model of start-ups. A secondary result of the research is the subjective and objective circumstances of the creation of a business idea, its content, confirmation of its originality, and the peculiarity of the start-up development process. The practical use of the results consist...

Insight into start-up, its action and surroundings

Economic Annals-ХХI, 2018

Start-ups are an appealing business form that gives space for self-realisation to enthusiastic, brave and creative people. The start-up progress is conditioned by the development of the business model. Other conditions for start-up viability include monetisation of business effort, effective leadership and teamwork, business strategy and external business support. A survey conducted on a sample of 76, 72 and 53 start-ups in three stages in 2015, 2016 and 2017 examined the development of those beginning and imperfect micro-enterprises in Slovakia. The research results are as follows. Start-ups are relatively closed, and their business model is inadequately connected to the environment. Start-ups know their customers well, but they do not know how to get them. They do not create partnerships in a sufficient range and quality. The monetisation of the examined start-ups is a little sophisticated, too traditional and without experimentation. Just less than a third of start-ups sell their basic product or service for free and generate money by selling premium services only. The most developed blocks are still customer value proposition and customer relationships; the least developed blocks are distribution channels and revenue streams. Startuppers rely on the simple assumption that a working business model will provide a lucrative earning directly. The founders of the studied start-ups are capable visionaries, but less competent managers. Start-up teams have demonstrated a high degree of internal cohesiveness and support in unpleasant and unpredictable situations, but they lack a greater formalisation of work in a routine operation. Business strategies of start-ups are ambitious and international, but little verified in a competitive battle. The competitive advantage of start-ups is based on differentiation rather than on low cost. Start-ups do not trust the state support for business; they cooperate with large companies just a little, but prefer to work with the start-up scene and private investors. Start-ups must mature entrepreneurially, enthusiasts must become entrepreneurs and managers, and they have to learn how to monetise their business effort. Start-ups will be most aided by the cultural and civilisation development of a society that recognises entrepreneurship as a natural, useful and honourable resource for the development of the national economy.

The Structure of the Start-Up Business Model, Accompanying Circumstances and Consequences

International Journal of Entrepreneurship, 2021

Start-ups are an attractive business phenomenon, which often and quickly fails. The biggest shortcomings and advantages of start-ups are hidden in their business model, although the influence of other factors cannot be neglected. The analysis of the literature confirms the key importance of the business model, but does not provide more detailed and in-depth knowledge of its structure. The goal of the research is a detailed penetration into the structure and quality of the start-up business model and the identification of its impact on the start-up's performance. A secondary goal of the research is to examine the influence of other features of the start-up on performance, e.g. originality of the business idea, development phase and type of market. The research sample contains 112 start-ups operating in Slovakia. The business model is recorded on the basis of canvas visualization. Each start-up was studied by a member of the research team, who personally recorded the founder's statements. The main result of the research is an extensive analytical picture of the start-up business model, which describes the diverse quality of its individual blocks, explains the causes of these differences, identifies blocks that affect starup performance and draws attention to the internal paradoxes of the model. A side effect is the identification of other factors that affect the performance of the start-up. The practical use of research results lies in a realistic picture of the business model of a start-up, its strengths and weaknesses, contradictions and consequences for business performance, which are the result of field research of real and functioning start-ups. In addition, the research draws attention to other relevant factors influencing the performance of the start-up. The originality and value of the research lies in the direct collection of quantitative data, immediate knowledge of the business reality and the organization of the results into a comprehensive and at the same time detailed picture of the start-up business model.

The process and problems of business Start-Ups

Revista Cientifica Pensamiento Y Gestion No 22 Ene Jun 2007, 2013

Resumen Este artículo describe el proceso de creación de una nueva empresa así como los problemas que más a menudo se presentan al intentar lograrlo. Para hacerlo, éste ha sido dividido en tres partes. La primera es introductoria y con una mirada a través de los trabajos preliminares de investigación se presentan algunas consideraciones teóricas y ciertas palabras claves. La segunda parte está relacionada con el proceso de arranque, puntualizando las actividades involucradas en la creación de una nueva firma. Finalmente, a través de los problemas de puesta en marcha y con estudios empíricos se muestran los más significativos problemas que tiene que enfrentar las nuevas firmas, así como algunos estudios empíricos que ilustran cómo la investigación en este campo puede ser llevada a cabo.

Analysis of Specific Improvement Areas in Start-Up Activity in Serbia

International Journal for Quality Research

Raising the level of knowledge is essential for start-ups pursuing growth and aiming at keeping their innovation potential high. Since innovation activity has been the driving force of economies worldwide, governments tend to focus on providing knowledge through various support programs in order to accelerate innovations. The aim of the study presented in this paper was to find out what types of knowledge and what factors contribute positively to this process. For this purpose, methodology used was based on interviews and questionnaire. 82 participants were selected for the study. Four hypotheses were tested and proven. One, related to the needed team knowledge, and three, related to digitalisation level, intellectual property rights protection, and gender influencing time-to-profit. The results of the study obtained are presented and discussed in the paper and these findings may be used as a guidance for further support to the Serbian innovation ecosystem.

The Business Model of Start-Up-Structure and Consequences

A start-up already at its origin has to solve the crucial existential condition that is a viable business model. The purpose of the research is to deepen and expand the knowledge about the structure of the start-up business model and its impact on entrepreneurial performance. Field research was carried out in three stages over one and a half years. The source of knowledge about the studied start-ups has been the personal experience recorded in the questionnaire. Start-ups are small closed communities that do not sufficiently shape external partnerships, cannot reach the customers, although they can identify them well enough, try to improve the business model blocks but they do not pay attention to their coordination and perceive the monetization in a simplified way. The impact of the business model on start-up performance has been confirmed but the internal blocks affect business performance unambiguously over the three stages of the research. The best conversion of users to customers and subsequently to revenues are distinctive for the start-ups with their own simple distribution channel and partners who are experienced distributors. The lessons learned can directly improve the results of start-ups when their incompleteness and imperfection will be substituted by appropriate partners. Start-ups provide a space for the new jobs and the self-realization of ambitious people with a sense of service for society. Empirical research on start-ups identifies their weaknesses and possibilities to increase their entrepreneurial performance.

Survival and growth of Hungarian start-ups

Entrepreneurship and Sustainability Issues, 2021

Most start-ups die and most survivors fail to grow dynamically. The aim of the paper is to summarize the factors found in the international literature, supported by empirical research, that influence the survival and growth of start-ups, and evaluates the results of expert interviews conducted with renowned players in the Hungarian start-up ecosystem. During the research process fourteen expert interviews were conducted and analysed with combined logic, integrating deductive and inductive approaches. Based on the results, there is little overlap among factors identified in the international literature and those highlighted by Hungarian experts as influencing the survival and growth of start-ups. However, international and Hungarian results unanimously emphasize that entrepreneurial education, internationalization, acquisitions and heterogeneity of the start-up team's knowledge and skills play a significant role in the success of startup businesses. Despite the limitations of the research, results may prove to be beneficial to both start-up ecosystem players and policymakers.

Natural and Generic Strategies of Start-ups and Their Efficiency

Journal of Competitiveness, 2020

A start-up is a very small but dynamic enterprise in its early stage, and therefore the strategies involved are different from the strategies of mature enterprises. The aim of this research was to deepen and broaden the knowledge of the strategies regarding the launch of micro enterprises and thus improve their competitiveness and viability. Our two-phase field research identified a spectrum of business strategies using factor analysis. The strategies selected will help to better understand the activities of start-ups in a competitive environment. Half of the spectrum of the identified strategies explain start-ups as an ambitious action in the international space with an emphasis on defining a unique quality or an active action that is an expression of the viability and perception of the business environment. The other half of the spectrum consists of strategies that are unclear and non-conceptual, i.e. limited by no central idea. In the second phase of research, the share of rational and action strategies increased slightly. Nevertheless, the identified strategies, which are considered to be the natural approaches of start-ups, have shown little impact on performance that would confirm their rationale and efficiency. Of the generic strategies considered to be standard for any company, only the typology of a strategy clock, based on price along with value added criteria, showed an impact on start-up performance.

Startups Support in Slovak Republic

In a knowledge-based society, innovation is the driving force of the economy on all levels and in all types of organizations. Due to high risks present when introducing new products and services, innovations are usually commercialized via isolated formal formations such as startup companies (next, just startup). The aim of the article is to empirically analyse the situation of startups in Slovakia and describe how Slovak republic supports startup. We used the questionnaire and we approached 289 small and medium enterprises, in case of which we assumed that they are startups. This assumption confirmed 153 startups based on the returned questionnaires. Slovak Republic has all that is necessary for the startup ecosystem. The survey showed that there is a need to support women in business and activate more investors interested in investments in startups. Founders of startup still use mainly own savings for funding business. Our findings can inspire new investors. Results may increase investors' interest in investing in startup companies due to the fact that the Slovak Republic conditions are created for this type of business.

Business models of start-ups and their impact on the sustainability of nascent business

Entrepreneurship and Sustainability Issues, 2021

Start-ups are an attractive business phenomenon because they offer opportunities for personal self-realization and extraordinary business growth. The survival and sustainability of start-ups depends mainly on the quality and development of their business model. However, this assumption must be confirmed by the field research. Field research dealt with the personnel background of the business, the business idea, the structure of the business model, the impact of quality and development degree of business model on start-up performance. Each start-up was individually examined on the basis of a structured questionnaire and a personal interview with the founder. Start-up founders are relatively young and educated, but without relevant business experience. The originality of business ideas is approaching the European level, but the evidence about it is superficial and the degree of protection of ideas is low. The level of quality and development of business model blocks is unbalanced. The most developed block is the customer value proposition/product, the least developed block is the revenue streams. The business model affects the performance of the start-up, but in a small intensity and efficiency only. The examined start-ups are slow in their development and fail to sufficiently monetize the results of their efforts. Research has revealed new and original insights into the structure of the business model of start-ups, the links between the quality of blocks and their stage of development, the impact of the business model on start-up performance or sustainability, and identified some weaknesses of startups. Faster development of business model and purposeful selection of partners and effective cooperation with them would probably eliminate at least some of the shortcomings of the start-ups under investigation.