According to statistical data, on average 1 startup per 10 achieves spectacular success and develops dynamically for a minimum period of several years. 2-3 somehow manage, but without major successes, and the remaining 7 after a year or two years end their activities for various reasons. This statistic may differ slightly between regions and countries depending on external financing assistance programs, organizational support from business incubators, etc. However, a small part of opened startups has been functioning for more than 2 years and has achieved great success in the scope of offer development, business run, participation in the acquired markets, the sale of a specific offer of innovative products or services and achieves financial success, which provides development opportunities.
In view of the above, what are the key success factors for the development of innovative startups? Is the idea for an innovative product or service the most important? Is the innovative technology on the basis of which new products or services are manufactured? Are convenient sources of external financing? Is a well-connected team of founders of a startup? Is a convenient tax system supporting the development of small entrepreneurship and innovation? Are also other factors?
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A proper, thought-through business model, business concept, and a unique value proposition.
Perseverence etc to run with it and see it through. Implement it.
Innovativeness and creativity to be able to circumvent and overcome problems etc on the way/ journey.
Funding. But lack of funding is a function of your unique value proposition and creativity.
Business acumen to know how to actually run a business.
Concept verification through testing.
I am referring to systematic entrepreneurship, not luck.
Five factors are critical to the initial success of any startup: the idea, the team, the business model, funding, and timing (but not necessarily in that order although the idea probably underpins all); later on, one might add leadership, planning, executing, marketing, dealing with growth, and responding to crises.
A Critical mass of entrepreneurs and innovators.
A strong, rich, new knowledge base can also contribute
Solution to a customer's problem and a business model that can support that idea.
Hi Dariusz- When I consider innovation, i think of three areas for success- organisational innovation (structure, leadership, management, strategy, culture), product and service innovation, and market orientation/ consumer engagement. Any or all can be critical success factors. Looking more pragmatically at the companies that I know have succeeded, they have relied on a/ a small group of consumers who have intimated support to create a base/ channel to be developed OR b/ a legislative need which requires a solution.
Dear Friends and Colleagues of RG What are the main determinants of the development of innovative startups in addition to the issue of the availability of external financing?
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I invite you to the discussion
Thank you very much
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Justification for the need and rationale behind innovative work that is useful and beneficial for the community
On the basis of the above considerations and conclusions from the discussion on interesting issues discussed, I formulated the following thesis that the transformation of the classical economy towards green economy should be implemented in every major strategic field of the national economy sector, including primarily in the energy sector to develop renewable sources energy. Therefore, as part of ecological policy, the state should support programs for the implementation of ecological reforms in the energy sector and the development of ecological innovations, thanks to which it will be possible to effectively implement the principles of sustainable pro-ecological development in economic processes in line with the green economy philosophy.
In the context of the above considerations, the following key questions arise:
- How long, how many years can it take to realize fully pro-ecological reforms in the energy sector, i.e. reforms consisting in the transformation of classic energy based on the burning of minerals into the ecological, harmless to the environment and climate of the planet Earth, energy based on the production of energy from renewable energy sources?
- What types of eco-innovations, including those related to the development of renewable energy sources, development of electromobility, improvement of waste segregation, development of recycling, conversion of plastic into biodegradable materials, improvement of the purification of the environment from civilization toxins, etc. should be developed in order to continue the transformation of the classic economy into green economy?
- Will man manage to transform the classic economy into green economy, among others on supporting programs for the development of eco-innovations and other pro-ecological reforms underpinning before a progressive global warming process can lead to a global climate disaster at the end of the 21st century?
- What are your recommendations for the quick implementation of the principles of sustainable pro-ecological development in economic processes carried out in accordance with the concept of the transformation of classical economics towards green economy?
What do you think about this topic?
What is your opinion on this topic?
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Thank you very much for participating in this discussion, for valuable tips, supplements, inspiring theses and new insights on the above issues. In developed knowledge-based economies, the development of innovation and technological, innovative startups plays an important role in the context of effective economic development and international comparative technological advantage. Therefore, one of the important elements of pro-development socio-economic policy is the policy of supporting the development of innovation, which aims to inspire the creation of innovations in various branches and sectors of the economy and to finance their implementation in economic processes. One of the important elements of supporting innovation is supporting the creation and development of technological startups that develop innovative technologies, innovative products or services, etc. In the context of this discussion, I am asking you to answer the following questions: What are the key pro-development instruments to support innovative, technological startups apart from financial instruments? What non-financial elements is built an effective policy supporting the development of innovation, including supporting the development of innovative startups?
What is your opinion on this topic?
Please reply.
Thank you very much,
Dariusz Prokopowicz
Other factors critical to success of star-ups include being subjected to incubation centres where training, mentoring, coaching and other aspects of business are learnt from well established and experienced business entities and advisors......
I believe that the single most important factor that belies innovation, indeed success in many ways, is culture. Within this, there needs to be FCA (focused commitment to action).To quote Schein, 'underlying assumptions, values, norms of behaviour and artefacts'. The right culture will provide the leadership, mission and vision, infrastructure and process and also adequate resources (otherwise known as 'slack' resources) and the acceptance of risk and learning from doing (Kolb). Perhaps idealistic and a 'bridge too far' as I do not often see it in my area of professional services.
Yes, the issue of investment risk analysis is crucial. The above discussion inspired me to formulate the following question: What are the dominant investment risk analysis models currently used for innovative start-ups?
What do you think about it?
What is your opinion on this topic?
Please answer me and invite you to the discussion, Regards, have a nice day,
Dariusz Prokopowicz
There are several factors that affect the success of any project or company, including taxes, work, the idea, type of company, labor market, competitors, and there are other factors.
The above discussion shows that there are many success factors for developing innovative startups.
Thank you for participating in the discussion. Best wishes,
Dariusz Prokopowicz
Dear Abdul Kuddus,
Yes, risk analysis is key. Therefore, it is necessary to improve risk management processes in the context of running a business.
Best regards,
Dariusz Prokopowicz
Dear Haider Raid Talib,
That's right. The success of any project or company, including the success of innovative startups, is influenced by many economic, social, financial, technological factors, as well as the market, competitive, state, fiscal environment, etc.
Best regards,
Dariusz Prokopowicz
Dear M.K. Tripathi,
That's right. Factors such as diligence, hard work, business ethics, cooperation, willingness to take risks, corporate social responsibility, etc. are the basis for success in economic ventures, in business as part of establishing and developing a startup.
Regards,
Dariusz Prokopowicz
creative thinking... Veselovsky, M. Y., Nikonorova, A. V., & Bitkina, I. V. (2017). The development of innovative startups in Russia: the regional aspect. The Journal of Internet Banking and Commerce, 1-14.
Degree of fund raising ability ... Talaia, M., Pisoni, A., & Onetti, A. (2016). Factors influencing the fund raising process for innovative new ventures: an empirical study. Journal of Small Business and Enterprise Development.
superior mobility and greater agility... Muramalla, V. S. S. R., & Al-Hazza, A. M. (2019). Entrepreneurial strategies and factors stimulate the business of tech startups. International Journal of Financial Research, 10(3).
Dear D A Gayan Nayanajith,
Thank you for paying attention to the important factors in the development of innovative startups. Thanks for your contribution to our discussion and the literature sources provided describing the determinants of the development of innovative startups.
Greetings, Have a nice day, Stay healthy!
Dariusz Prokopowicz
Dear Stephen I. Ternyik,
Yes, new forms of external financing, including crowdfunding, business angels and specialized investment funds are important factors in the development of innovative startups.
Greetings,
Dariusz Prokopowicz
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