Exploring the role of business relationships in start-ups’ life cycles

IMP Journal ◽  
2018 ◽  
Vol 12 (3) ◽  
pp. 519-543
Author(s):  
Chiara Cantù ◽  
Sepe Giorgia ◽  
Alessandra Tzannis
Keyword(s):  
Life Cycle ◽  
Secondary Data ◽  
Life Cycles ◽  
Business Relationships ◽  
Structured Interviews ◽  
Content Type ◽  
Strategic Resources ◽  
Start Up ◽  
Start Ups

Purpose Differently from previous works that focused on the entrepreneur and on his ability to manage social relationships, the purpose of this paper is to investigate the role of business relationships in the different stages of the life cycle of a start-up. Design/methodology/approach Since the paper aims to explore startups’ evolutionary phenomenon, it adopts a qualitative abductive methodology, presenting an in-depth study of two innovative Italian start-ups. The research is based on two steps. In the first one, the authors collected secondary data from start-ups’ reports and documents, financial indicators (when available) and processed them to understand their background. In the second one, the authors conducted ten semi-structured interviews, including face-to-face interviews, phone interviews and video conferences. Findings The paper presents a relationship-based life cycle model composed of four different stages, depending on the number and role of relationships developed. Indeed, since the beginning, start-ups adopt a relational approach and their evolution involves the shift from the focus on the entrepreneur to the centrality of a network approach based on interconnected relationships. The entering into a new stage of life cycle depends on relationships, mainly based on connected actors and resources shared and combined. Even if a key role is assumed by technology, the main resource is identified in the knowledge concerning the customer/user’s needs that require marketing competencies, human resources, relational capabilities. Thus, the shift from one stage to the next in the start-up’s life cycle is possible thanks to a parallel shift from a focus on the activities to a focus on those strategic and heterogeneous actors that ensure activities. Originality/value In a traditional perspective, the start-up’s life cycle depends on activities, financial resources and revenues, as stated by previous life cycle models. In a different perspective, as depicted in our analysis, the evolution of a start-up depends on the portfolio of their business relationships. The role of business relationships is hence to facilitate the interconnections within specialized key actors, which allow start-ups to access strategic resources. These resources are essential in order to develop the activities that characterize the specific stage of the life cycle.

scholarly journals Key determinants of organisational silence for non-standard workers

2016 ◽  
Vol 54 (6) ◽  
pp. 1522-1538 ◽  
Author(s):  
Willam Joseph Pirie
Keyword(s):  
Life Cycle ◽  
Academic Research ◽  
Limited Liability ◽  
Future Contract ◽  
Structured Interviews ◽  
Diverse Range ◽  
Content Type ◽  
Start Up ◽  
The Impact

Purpose – The purpose of this paper is to identify the key determinants of organisational silence from the perspective of non-standard workers (NSWs). The study focuses on three research themes: first, analysing the experiences motivating NSWs to remain silent; second, analysing the role of the NSW life cycle in the motivation to remain silent, the final theme is evaluation of the impact on organisational voice of an organisation employing a workforce in which NSWs and standard workers (SWs) are blended. Design/methodology/approach – The study utilises a phenomenological approach, as defined by Van Manen (2007), to collect and analyse the phenomenon of organisational silence from the perspective of NSWs. The NSWs are defined as individuals operating via Limited Liability UK registered companies created for the purpose of delivering services to organisations via a contract of services. This study employed a combination of phenomenology and hermeneutics to collect and analyse the data collected from the NSWs using semi-structured interviews (Lindseth and Norberg, 2004). Findings – The study concludes with three core findings. NSWs experience similar motivational factors to silence as experienced by standard workers (SWs). The key differential between a SW and a NSW is the role of defensive silence as a dominant motivator for a start-up NSW. The study identified that the reasons for this is that new NSWs are defensive to protect their reputation for any future contract opportunities. In addition, organisations are utilising the low confidence of new start up NSWs to suppress the ability of NSWs to voice. The research indicates how experienced NSWs use the marketing stage of their life cycle to establish voice mechanisms. The study identified that NSWs, fulfiling management and supervisory roles for organisations, are supporting/creating climates of silence through their transfer of experiences as SWs prior to becoming NSWs. Research limitations/implications – This study is a pilot study, and the findings from this study will be carried forward into a larger scale study through engagement with further participants across a diverse range of sectors. This study has identified that there is a need for further studies on organisational silence and NSWs to analyse more fully the impact of silence on the individuals and the organisation itself. A qualitative phenomenological hermeneutical study is not intended to be extrapolated to provide broad trends. The focus of the phenomenological hermeneutic research methodology is on describing and analysing the richness and depth of the NSW’s experiences of silence in organisational settings. Originality/value – This paper draws together the studies of worker classification, motivators for organisational silence, and the impact of blending SWs and NSWs in an organisational setting. The study demonstrates that academic research to date has focused predominantly on SWs to the exclusion of the 1.5 million, and growing, NSWs in the UK. This study examines these under-represented workers to analyse the participants’ experiences of organisational silence, and its consequences in organisational settings, demonstrating a need for further studies.

Discovering the collective entrepreneurial opportunities through spatial relationships

IMP Journal ◽  
2018 ◽  
Vol 12 (2) ◽  
pp. 276-295 ◽  
Author(s):  
Chiara Cantù
Keyword(s):  
Digital Fabrication ◽  
Business Relationships ◽  
Content Type ◽  
Study Approach ◽  
Business Partners ◽  
Entrepreneurial Opportunities ◽  
Start Up ◽  
New Business ◽  
Start Ups

Purpose Even if in a traditional perspective the discovery and the exploitation of opportunities are associated to the entrepreneur’s capabilities, a relational perspective is required to better analyze the phenomenon of starting up a new venture. The growing attention to interaction with the external environment has been emerging as a precondition of the entrepreneurial processes as it creates the knowledge and the experience necessary to perceive the opportunity. The entrepreneurial opportunities are created through joint acts with others through social relationships. Shifting the attention from social to business relationships, the main aim of this paper is to investigate the discovery and the exploitation of collective entrepreneurial opportunities in starting up new business. In particular, the purpose of this paper is to analyze the role of relational proximity in the entrepreneurial journey considered as an emergent process of transforming potentiality into actuality. Design/methodology/approach The paper applied a qualitative methodology (Dubois and Araujo, 2004) and a case study approach (Barrat et al., 2011). The case concerns the dyadic spin-off relationship between the innovative start up, ShapeMode (the generated firm), and the Milan FabLab (the generating firm) located in Lombardy Region (Italy). Findings The emerging of collective entrepreneurial opportunities could be analyzed at two levels: the first one concerns the dyadic spin-off relationship, while the second one is founded on the business relationships that the start-up can activate with the business partners of the generating firm. The collective entrepreneurial opportunities are positive influenced by jointness of the actors and their co-evolution, founded on the shared values and goals. Research limitations/implications Although the case study approach allowed the researcher to gain detailed information about the spin-off relationship, this effort does not measure the performance outcomes of the relationships and actions that were taken to improve the competitiveness of the start-up. Future studies would benefit from a large-scale questionnaire given to the members of the start-up and to the actors of its Entrepreneurial Network, so to analyze all of its performance implications for the start-up and the network as a whole. In addition, it could be of interest for future research to investigate the effects of collective entrepreneurial opportunities in order to examine this topic more deeply. Practical implications From a managerial point of view, even if the growing number of start-ups has been associated to a temporary phenomenon, the development of new ventures is now consolidated. A new managerial approach is required to promote the birth and the growth of the start-ups. The development of a new venture requires to shift the attention from the collection of financial resources to the exploitation of entrepreneurial opportunities generated by interconnected business relationships. In this way a relevant attention should be recognized to the new role of organizations that can be considered as facilitators of business relationships, such as the FabLab. This paper sheds light on the relevance of the strategic networking that sustains the generation of collective entrepreneurial opportunities. The networking involves actors that belong to different geographic area and different countries but that are focused on the same business dream related to the exploitation of potentialities of digital fabrication. The policymakers should recognize the role of the FabLab as facilitator of knowledge diffusion concerning digital fabrication. Originality/value The entrepreneurial opportunities such as the starting up of a new business and its evolution, are enacted, discovered and exploited through interconnected business relationships. In particular the main entrepreneurial opportunities are generated by the activation of business relationships with new business actors. Focusing on the dyadic spin-off relationship, the exploitation of collective entrepreneurial opportunities depends on the sharing of third actors. The business partners of the generating actor (FabLab) became business partners of the generated actor (start-up). The evolution of the generating firm (FabLab) influenced the birth and the evolution of the generated firms (start-up). The dyadic relationship allows the generated firm to discover entrepreneurial opportunities and to exploit them, accessing to the business partners of the generating firm. The effectiveness of the spin-off relationship sustains the replication of the model of new firm generation, that could benefit from the relationships of the two actors of the dyad. Moreover the strong relationships are founded on relational proximity that is characterized by the sharing of values, vision and business dreams.

How innovation intermediaries support start-up internationalization: a relational proximity perspective

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Daniel Schepis
Keyword(s):  
International Business ◽  
Secondary Data ◽  
Business Networks ◽  
Case Study Methodology ◽  
Content Type ◽  
Analysis Process ◽  
Innovation Intermediaries ◽  
Start Up ◽  
Stage Analysis ◽  
Start Ups

Purpose This paper aims to examine how innovation intermediary activities increase relational proximity between start-ups and foreign partners to support start-up internationalization. Design/methodology/approach The paper applies a case study methodology to examine an international network of innovation intermediaries in the resources sector. Interviews were conducted with 59 start-ups, corporate and intermediary managers in four countries, supplemented by secondary data. A two-stage analysis process was performed to first identify activities relating to start-up internationalization and then apply a theoretically derived coding framework based on five proximity dimensions. Findings The case identifies several innovation intermediary activities, which facilitate relationship development between start-ups and partners in new markets. Findings outline how activities increase relational proximity across different dimensions, while also indicating a number of interrelations between dimensions, given the complexity of international business relationships. Originality/value This paper establishes interdisciplinary bridges between business networks, international business and economic geography perspectives. It provides a valuable empirical foundation for relational proximity, demonstrating its application to understanding start-up internationalization and its influence by intermediary-led activities.

scholarly journals Forging a collective entrepreneurial identity within existing organizations through corporate venturing

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Ying Zhang ◽  
Marina G. Biniari
Keyword(s):  
Secondary Data ◽  
Corporate Entrepreneurship ◽  
Role Identity ◽  
Structured Interviews ◽  
Bottom Up ◽  
Content Type ◽  
Corporate Context ◽  
Management Literature ◽  
Parent Companies

PurposeThis study unpacks how organizational members construct a collective entrepreneurial identity within an organization and attempt to instill entrepreneurial features in the organization's existing identity.Design/methodology/approachThe study draws on the cases of two venturing units, perceived as entrepreneurial groups within their respective parent companies. Semi-structured interviews and secondary data were collected and analyzed inductively and abductively.FindingsThe data revealed that organizational members co-constructed a “corporate entrepreneur” role identity to form a collective shared belief and communities of practice around what it meant to act as an entrepreneurial group within their local corporate context and how it differentiated them from others. Members also clustered around the emergent collective entrepreneurial identity through sensegiving efforts to instill entrepreneurial features in the organization's identity, despite the tensions this caused.Originality/valuePrevious studies in corporate entrepreneurship have theorized on the top-down dynamics instilling entrepreneurial features in an organization's identity, but have neglected the role of bottom-up dynamics. This study reveals two bottom-up dynamics that involve organizational members' agentic role in co-constructing and clustering around a collective entrepreneurial identity. This study contributes to the middle-management literature, uncovering champions' identity work in constructing a “corporate entrepreneur” role identity, with implications for followers' engagement in constructing a collective entrepreneurial identity. This study also contributes to the organizational identity literature, showing how tensions around the entrepreneurial group's distinctiveness may hinder the process of instilling entrepreneurial features in an organization's identity.

Enterprise survival in the high-tech community: persuasion and power in board decisions

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Ronit Yitshaki ◽  
Eli Gimmon ◽  
Susanna Khavul
Keyword(s):  
High Tech ◽  
Structured Interviews ◽  
Board Size ◽  
Term Survival ◽  
Long Term Survival ◽  
Content Type ◽  
Board Processes ◽  
Start Up ◽  
Start Ups

Purpose This study aims to examine the extent to which board size, the use of power by venture capital investors and entrepreneurs’ interpersonal tactics such as persuasion to sway board decisions, influence the long-term survival of start-ups. Design/methodology/approach This study used a mixed-methods approach. The quantitative part is based on data collected from 179 chief executive officers (CEOs) of high-tech start-ups community financed by venture capitalists (VCs) in Israel of which 59 did not survive. To achieve a better understanding of these findings, semi-structured interviews with 12 entrepreneurs were conducted. Findings Smaller boards were positively associated with venture survival. The use of power by VC investors positively influenced start-up survival. CEO persuasion had a negative effect on venture survival; however, its interaction with board size suggests that it had a lesser effect on very small boards. Practical implications Although investors’ control over decision-making contributes to long-term survival, entrepreneurs should be aware of the possible detrimental effects of exercising a high level of persuasion in board processes. The findings also suggest that a small board size is preferable for start-up survival. Originality/value Exploring the effect of board processes on venture survival is considered complex. A unique sample of high-technology start-ups consisting of both surviving and failed start-ups was analyzed to explore the effects of persuasion and power in board processes.

Empowering human resource functions with data-driven decision-making in start-ups: a narrative inquiry approach

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Deepkumar Varma ◽  
Pankaj Dutta
Keyword(s):  
Decision Making ◽  
Narrative Inquiry ◽  
Technology Implementation ◽  
Data Driven ◽  
Structured Interviews ◽  
New Paradigm ◽  
Data Driven Decision Making ◽  
Content Type ◽  
Start Up ◽  
Start Ups

Purpose Across industries, firms want to adopt data-driven decision-making (DDDM) in various organizational functions. Although DDDM is not a new paradigm, little is known about how to effectively implement DDDM and which problem areas to focus on in these functions. This study aims to enable start-ups to use DDDM in human resources (HR) by studying five HR domains using a narrative inquiry technique and aims to guide managers and HR practitioners in start-ups to enable data-driven decisions in HR. Design/methodology/approach This study adopts the narrative inquiry technique by conducting semi-structured interviews with HR practitioners and senior members handling HR functions in start-ups. Interview memos are thematically analyzed to identify repeated ideas, concepts or elements that become apparent. Findings The study findings indicate that start-ups need to have canned operational reports with right attributes in each of these HR domains, which members should use when performing HR tasks. Few metrics, like cost-to-hire in recruitment, distinctly surfaced relatively higher in importance that each start-up, should compute and use in decision-making. Practical implications Managers, HR practitioners and information technology implementation teams will be able to consume the findings to effectively design or evaluate HR processes or systems that empower decision-making in a start-up. Originality/value Start-ups have a fast-paced culture where creativity, relationships and nimbleness are valued. Prevalent decision models of larger organizations are not suitable in start-ups’ environments. This study, being cognizant of these nuances, takes a fresh approach to guide start-ups adopt DDDM in HR and identify key problem areas where decision-making should be enabled through data.

Entrepreneurial ecosystem for tech start-ups in Bangalore: an exploration of structure and gap

2020 ◽  
Vol 27 (7) ◽  
pp. 1167-1185
Author(s):  
Bala Subrahmanya Mungila Hillemane
Keyword(s):  
Gap Analysis ◽  
Primary Data ◽  
Ecosystem Structure ◽  
Entrepreneurial Ecosystem ◽  
Component Level ◽  
Policy Makers ◽  
Content Type ◽  
Start Up ◽  
Start Ups

PurposeBangalore has gained international recognition as a technology start-up hub for its vibrant entrepreneurial ecosystem. Against this backdrop, this paper attempts to explore the structure and gap that exist with respect to the entrepreneurial ecosystem for tech start-ups in Bangalore.Design/methodology/approachA Delphi technique based four stage interaction with the experts/stakeholders belonging to different components of the entrepreneurial ecosystem (as identified from the literature) in the context of Bangalore is conducted, to gather primary data. This enabled us to define the structure of entrepreneurial ecosystem and analyse the gap that exists between an ideal ecosystem feasible in the Indian context and that one that prevailed in Bangalore.FindingsThe prevailing entrepreneurial ecosystem for tech start-ups in Bangalore is significantly different (lower) relative to an ideal ecosystem feasible in the Indian economic environment, as prescribed by the Delphi experts, both at the aggregate level and at an individual component level. The step-wise (backward) logistic regression analysis revealed that Bangalore ecosystem is primarily lacking in terms of one of the Triple Helices, namely, role of education and research institutions, and two of the five indispensable components, namely, market maturity and mentorship.Research limitations/implicationsIt is essential to strengthen and promote the Triple Helix base and the five indispensable components in an entrepreneurial ecosystem, to accelerate the emergence and growth of tech start-ups.Practical implicationsIt brings out the nature of entrepreneurial ecosystem structure and the gap between what can be considered an ideal ecosystem and what prevails in Bangalore currently.Originality/valueThis is a primary data based study, which has value for regional policy makers in strategizing to promote Bangalore ecosystem, and for researchers in undertaking “ecosystem gap analysis”.

The role of start-up incubators in cooperation networks from the perspective of resource dependence and interlocking directorates

2019 ◽  
Vol 57 (10) ◽  
pp. 2816-2836 ◽  
Author(s):  
Anderson Galvão ◽  
Carla Marques ◽  
Mário Franco ◽  
Carla Mascarenhas
Keyword(s):  
Resource Dependence ◽  
Transaction Cost Economics ◽  
Resource Dependence Theory ◽  
Structured Interviews ◽  
Interlocking Directorates ◽  
Content Type ◽  
Scarce Resources ◽  
Start Up ◽  
Dependence Theory ◽  
Start Ups

Purpose Based on resource dependence theory and the concept of interlocking directorates, the purpose of this paper is to understand the importance of networks for start-ups and the role incubators play in these companies’ networking processes. Design/methodology/approach The research was conducted through semi-structured interviews with the entrepreneurs responsible for three start-ups and the heads of their incubators. The interview data were subjected to content analysis using NVivo software. Findings The results indicate that start-ups often resort to networks to overcome their weak reputations and scarce resources. Incubators play a quite important role in this process since they promote events that encourage the creation of partnerships and networks either between start-ups within the same incubator or with external institutions. In addition, the results reveal that most cooperation networks are informal and that they fulfil needs that start-ups are not yet able to meet themselves, for example, when they compete for public tenders. Practical implications The present study explored this topic from two perspectives (i.e. start-ups and incubators). This approach facilitated the identification of the main features upon which start-ups depend, the entities to which these companies turn for help, the kind of communication in which they usually engage, the primary advantages of establishing cooperation networks and the main types of support given by incubators. Originality/value Most studies of cooperation networks are based on transaction cost economics, a resource-based perspective and/or institutional theory. In contrast, this study innovated by applying resource dependence theory and the concept of interlocking directorates, which provided an alternative explanation regarding cooperation networks’ importance to start-ups and incubators’ roles in these companies’ networking processes.

scholarly journals The role of talent management in strategic renewal

2020 ◽  
Vol 42 (1) ◽  
pp. 75-89 ◽  
Author(s):  
Kati Järvi ◽  
Violetta Khoreva
Keyword(s):  
Organizational Performance ◽  
Evaluation Criteria ◽  
Secondary Data ◽  
Talent Management ◽  
Top Management ◽  
Structured Interviews ◽  
Content Type ◽  
Strategic Renewal ◽  
Business Opportunities

Purpose The purpose of this paper is to emphasize the role of talent management (TM) in strategic renewal. Furthermore, the authors extend the existing knowledge on the process of TM implementation by underlining particular activities, which are involved in this process during strategic renewal. Design/methodology/approach The authors report a qualitative study of a TM program in a Finnish–Swedish Multinational corporation undergoing major strategic renewal. The data consist of 46 semi-structured interviews and secondary data. Findings The role of TM in the context of strategic renewal is to provide the conditions for the self-initiation and identification of potential change agents and for the development of the talented employees to perform in their roles of change agent. In the context of strategic renewal, TM process consists of identification of key projects to address critical business opportunities and challenges, the identification of talented employees to execute them, and the identification and creation of key positions. Research limitations/implications The authors encourage scholars to explore the empirical settings characterized by change and unpredictability in more detail, and thus examine the role of talented employees and TM in other specific contexts. Future studies are also encouraged to study other cultural settings and examine to what degree the process of TM implementation may positively influence attitudes and behaviors of talented employees and, consequently, the overall organizational performance. Practical implications This study offers practical advice for top management and HR managers. First, the process of TM implementation during strategic renewal should start with the identification of “must-win-battles” that can have a more profound impact on change. Furthermore, top management should allow and enable motivated potential talented employees to volunteer for the job of aiding company-wide changes. Next, top management should provide the talented employees with the space to come up with novel ideas and conceive new business opportunities. Finally, the importance of transparent and spot-on evaluation criteria should be emphasized. Originality/value The study contributes to advancing our understanding of TM and strategic management in practice.

scholarly journals The governance of collaboration in complex projects

2018 ◽  
Vol 38 (4) ◽  
pp. 997-1019 ◽  
Author(s):  
Mehmet Chakkol ◽  
Kostas Selviaridis ◽  
Max Finne
Keyword(s):  
Design Methodology ◽  
Secondary Data ◽  
Primary Data ◽  
Structured Interviews ◽  
Relational Governance ◽  
Content Type ◽  
Collaborative Practices ◽  
Complex Projects ◽  
Standard Sets

Purpose Inter-organisational collaboration is becoming increasingly important in complex projects; some project customers even formally require evidence of collaborative competence from potential providers. The purpose of this paper is to explore the governance of collaboration and the ways in which it is enacted in practice for complex projects. Design/methodology/approach The study is based on a qualitative analysis of 29 semi-structured interviews, primary data from meetings and events supported by secondary data, including standards and industry-specific contract templates. Findings The paper identifies how collaboration can be effectively governed in complex projects through the emerging role of the collaboration standard and its impact on contractual and relational governance mechanisms. The standard sets higher-level institutional guidelines that affect the way in which collaboration is governed in complex projects. It helps formalise informal relational practices whilst also providing guidelines for building flexibility in contracts by including coordination- and adaptation-oriented provisions conducive to collaboration. Originality/value The paper demonstrates the emerging role of the collaboration standard and its influence on contractual and relational mechanisms deployed in complex projects. It shows how the standard can formalise and codify informal collaborative practices and help transfer related learning across projects, thereby contributing towards the dual requirement for standardisation and flexibility in project settings.

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