Understanding Barriers to Internal Startups in Large Organizations: Evidence from a Globally Distributed Company

Large global companies need to speed up their innovation activities to increase competitive advantage. However, such companies' organizational structures impede their ability to capture trends they are well aware of due to bureaucracy, slow decision-making, distributed departments, and distributed processes. One way to strengthen the innovation capability is through fostering internal startups. We report findings from an embedded multiple-case study of five internal startups in a globally distributed company to identify barriers for software product innovation: late involvement of software developers, executive sponsor is missing or not clarified, yearly budgeting and planning, unclear decision-making authority, lack of digital infrastructure for experimentation and access to data from external actors. Drawing on the framework of continuous software engineering proposed by Fitzgerald and Stol, we discuss the role of BizDev in software product innovation. We suggest that lack of continuity, rather than the lack of speed, is an ultimate challenge for internal startups in large global companies.acceptedVersio

Software Startups -- A Research Agenda

Software startup companies develop innovative, software-intensive products within limited time frames and with few resources, searching for sustainable and scalable business models. Software startups are quite distinct from traditional mature software companies, but also from micro-, small-, and medium-sized enterprises, introducing new challenges relevant for software engineering research. This paper's research agenda focuses on software engineering in startups, identifying, in particular, 70+ research questions in the areas of supporting startup engineering activities, startup evolution models and patterns, ecosystems and innovation hubs, human aspects in software startups, applying startup concepts in non-startup environments, and methodologies and theories for startup research. We connect and motivate this research agenda with past studies in software startup research, while pointing out possible future directions. While all authors of this research agenda have their main background in Software Engineering or Computer Science, their interest in software startups broadens the perspective to the challenges, but also to the opportunities that emerge from multi-disciplinary research. Our audience is therefore primarily software engineering researchers, even though we aim at stimulating collaborations and research that crosses disciplinary boundaries. We believe that with this research agenda we cover a wide spectrum of the software startup industry current needs

Creating New Ventures: A review and research agenda

Creating new ventures is one of the most central topics to entrepreneurship and is a critical step from which many theories of management, organizational behavior, and strategic management build. Therefore, this review and proposed research agenda is not only relevant to entrepreneurship scholars but also other management scholars who wish to challenge some of the implicit assumptions of their current streams of research and extend the boundaries of their current theories to earlier in the organization’s life. Given that the last systematic review of the topic was published 16 years ago, and that the topic has evolved rapidly over this time, an overview and research outlook are long overdue. From our review, we inductively generated ten sub-topics: (1) Lead founder, (2) Founding team, (3) Social relationships, (4) Cognitions, (5) Emergent organizing, (6) New venture strategy, (7) Organizational emergence, (8) New venture legitimacy, (9) Founder exit, and (10) Entrepreneurial environment. These sub-topics are then organized into three major stages of the entrepreneurial process—co-creating, organizing, and performing. Together, the framework provides a cohesive story of the past and a road map for future research on creating new ventures, focusing on the links connecting these sub-topics

Team collaboration capabilities as a factor in startup success

[EN] This paper discusses the role of team collaboration as a building block for cultivating capabilities in technology-based startups. This conceptual framework draws on a literature review of innovation and entrepreneurship research to understand the intra-organization collaboration mechanisms among team members in technology-based startups. Introducing the concept of team collaboration capabilities represents a new approach to understanding the interaction conditions that give rise to new capabilities from a venture team as its organizational base. Rapid new capability building represents a competitive advantage in environments characterized by innovative technological change, known as dynamic capabilities.We are grateful to the Consejo Nacional de Ciencia y Tecnología de México (CONACyT) for funding Anna Karina Lopez-Hernandez s Ph.D. research grant. We also thank the Conselleria d Educació, Investigació,Cultura i Esport (GV/2018/003) for financial support for this research. We are indebted to Pablo D Este for his detailed and insightful feedbackLopez-Hernandez, AK.; Fernandez-Mesa, A.; Edwards-Schachter, M. (2018). Team collaboration capabilities as a factor in startup success. Journal of Technology Management & Innovation. 13(4):13-22. http://hdl.handle.net/10251/154377S132213

International Opportunities through Accelerator Networks: A Study of Startups Becoming Embedded in Edtech Context

This thesis examines edtech startups in the Finnish context. It focusses on the role of accelerator networks as embedding mechanisms for internationalising startups. The topic is pertinent because the role of accelerators in the internationalisation of startups has been understudied, despite growing interest in them. The characteristics of startups are decisive for this study, as startup ventures differ from other small and new ventures and continue to adjust and iterate to develop a scalable business model while internationalising. This study is positioned at the intersection of entrepreneurship, international entrepreneurship, and innovation. Conceptually, this study draws on the concepts of network embeddedness and on international opportunities defined as non-linear, iterative, and interactive development. This research was conducted as a single case study within the emerging edtech sector in the Finnish context and it adopts abductive approach. The extensive data consists of 46 interviews, observations, and documents, and the analysis is based on the method of constant comparison. The research identifies accelerator networks, which are relevant for international opportunity development, and thus, it enriches the literature on accelerators. The analysis demonstrates the mechanisms of international opportunity development through networks, resources, and collaboration. A typology is applied to classify internationalising startups in terms of accelerator networks, international opportunities, and product development. Finally, all findings are synthesised in a conceptual model. This study contributes to the emerging academic literature on accelerators by explaining the role of accelerator networks during the parallel process of venture creation and international opportunity development. Propositions are developed to advance future accelerator studies. Researching the community of internationally mixed startups in various locations and embedded in various environments challenges to reconsider the geographical location as an operationalisation of spatial dimension. Thus, this research joins the discussion on contextual dimensions in entrepreneurship studies

Research on technology entrepreneurship and accelerators

The last few years, accelerators are quickly proliferating across the globe. To illustrate, the F6S-platform for founders indicates that the worldwide number of accelerators has grown from 194 in 2012 to 793 in 2015; an increase of 308%. However, there is quite some confusion about what an accelerator is and what its impact is on early-stage technology ventures. To add to the confusion, many programs are continuously evolving their models. Understanding the organizational design of accelerators, its effectiveness, and its role in the startup ecosystem is key if we want to properly advise policy makers, investors, and corporates looking for new ways to spur the development of innovative ventures. Furthermore, focusing on accelerators provides an opportunity to extend the learning and experimentation literature as it offers a natural lab setting. Accordingly, the overarching research question of this dissertation is: what do accelerators do and how do they impact the entrepreneurial trajectory of ventures? This study uses theory elaboration methods to suggest how accelerators are configured and what happens within an accelerator program. The research setting is 40 accelerators across Europe—cohort-based startup support programs that accelerate learning and are seen as problem solvers for various actors in the entrepreneurial ecosystem such as venture capitalists, governments, corporates and even incubators. For instance, setting up an accelerator benefits venture capitalists by facilitating investments in a larger number of early-stage ventures at relatively low cost. It also benefits governments and corporates to streamline technology commercialization efforts. Thus, accelerators are an important phenomenon and this study provides several insights. On the one hand, it opens the ‘black box’ by highlighting the design and practices of the accelerator. By recognizing the heterogeneity among accelerators, it is clear that more robust metrics have to be developed in order to monitor the effectiveness of the different models. Although classifications of accelerator programs based on their relative performance (e.g. the Seed Accelerators Ranking Project) could be of importance to startups, it may also provide a distorted view considering programs can differ in their strategic objectives. On the other hand, it explains to policy makers, accelerators and early-stage technology ventures the boundary conditions of acceleration. First, policy makers need to take a long-term budget view when they consider to support startups through accelerator programs. Second, many ventures may not be investor-ready or commercially viable at the end of an accelerator program. Therefore, a systematic policy approach is needed for startups to thrive. Third, both early-stage technology ventures and individuals interested in setting up an accelerator should take into account the specific program components such as the selection process and the learning approach when respectively considering to apply for a program or configure one. Taken together, these essays demonstrate that accelerators occur in various forms, are constantly evolving and can differently impact the development of early-stage ventures

Lean internationalisation of high-tech startups:a business model perspective

Abstract. Globalisation is becoming indispensable in terms of profitability and growth for international businesses. Today, internationalisation has become one of the most important components of the company’s operation. Especially for startups, a key rule in starting new businesses today is to think global. Although many startups know that it is important to think global and expand internationally, the underlying actions required may not be always clear. Furthermore, although internationalisation is a key factor for business enterprises, it is relatively unknown how such companies as Born Globals are developing a successful process of entering the foreign market in a fast and lean way. This study examines the factors influencing the speed of internationalisation from the perspective of business models, comparing fast and lean internationalisation with progressive and gradual internationalisation, such as the Uppsala model in the existing research. Thanks to the detailed case studies and thematic data analysis, the study compares three high-tech Finnish startups at various stages of the startup lifecycle. The study shows the importance of the business model perspective to explain the phenomenon of rapid internationalisation and lean internationalisation. One of the main results and contributions of the study is to develop a new framework to explain rapid and lean internationalisation. At the broader level of the new framework, the study suggests virtual presence, business model learning, and the ability to replicate business models are key aspects that can accelerate the internationalisation speed for high-tech startups. At the level of the specific components, four aspects of the business model (customer-centric value creation, market, internal capacity and strategic aspects) are identified to accelerate the internationalisation of the case companies

Enhancing entrepreneurial innovation through industry-led accelerators: corporate-new venture dynamics and organizational redesign in a port maritime ecosystem

This PhD dissertation studies the management and design of corporate accelerators, in particular, industry-led value chain corporate accelerators. I addressed a multi-faceted research question about the novelty, corporate impact, dynamics and design of industry-led accelerators. Using a longitudinal, inductive, multiple-case embedded research design that analyses the industrial accelerator interface, the relationships between incumbent firms and external new ventures and the R&D/innovation units of established firms in a port maritime complex, this dissertation addresses this multi-faceted research question and it makes five core contributions. First, it positions, for the first time, the corporate accelerator phenomena at the intersection of fundamental management research streams, including organizational design, dynamic capabilities and corporate entrepreneurship. Second, it conducts the first study of the promising model of industry-led accelerator by inductively generating a four-step framework of how these accelerators work: i) co-define a broad innovation remit, ii) generate an innovation funnel to attract start-ups and scale-ups, iii) mutual sensing via flexible matching iv) select for scale and investment. Third, it finds striking counter-intuitive evidence in that the industry-led accelerator not only accelerates external new ventures but rather the corporate partners themselves by triggering them to internalize the lean start-up method and redesign their R&D/innovation processes and routines. To explain this, I inductively developed a four-phases process model of corporate entrepreneurial capability-building, comprising: a) attracting, b) strategic fit sensing, c) shaping and d) internalizing. Fourth, this dissertation uncovers three novel tensions—internalization, implementation and role—at the incumbent - new venture interface and develops a new ecological and symbiotically-inspired framework for tension identification and mitigation in industrial acceleration contexts. Fifth, and finally, using the frameworks and process models developed, this dissertation proposes a new toolkit (industrial acceleration design canvas and workshops) to orient practitioners when strategizing, designing and sustaining corporate new venture ecosystem acceleration initiatives.Open Acces