Sepideh Rahmani; Farzad Movahedi Sobhani; Hamed Kazemipoor; Majid Sheikh Mohammadi
Abstract
In order to survive and succeed in today's ever-changing business world, both established organizations and startups must be able to adapt and innovate. A key factor in this is the concept of open innovation, which has revolutionized how organizations acquire knowledge by facilitating collaboration and ...
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In order to survive and succeed in today's ever-changing business world, both established organizations and startups must be able to adapt and innovate. A key factor in this is the concept of open innovation, which has revolutionized how organizations acquire knowledge by facilitating collaboration and interaction between different entities. For startups, who are new players in the market, it is crucial to remain constantly vigilant and adaptable in order to thrive. The lean startup methodology has gained popularity as a means to efficiently develop products and businesses. Investment plays a crucial role in the sustainability and growth of startups, and investors assess various factors when making investment decisions. However, previous studies have often analyzed these factors statically, without considering their dynamic interactions over time. This paper aims to explore the dynamics of startup ecosystems and the factors influencing investment deci-sions. It adopts a qualitative research approach, using expert opinions and existing literature to identify and analyze causal loops that impact the willingness to invest in startups. The study constructs a dynamic model that illustrates the relationships and feedback mechanisms among different variables, including learning, synergy, economic factors, financial risk, and startup value. The model reveals that multiple variables influence the willingness to invest, and their interactions create a complex dynamic system. Through scenario analyses, the paper suggests strategies to enhance investment readi-ness and attract investors. These scenarios include increasing cooperation to foster synergy, improving startup value through innovation and efficiency, and managing economic factors and financial risks. Sensitivity analysis demonstrates how changes in variables like cooperation can impact the willingness to invest. The research underscores the importance of understanding the interplay of these factors in a dynamic ecosystem to make informed investment decisions and foster startup success.
Ali Eslamibidkoli; Mohammad Reza Sadeghi Moghadam; Tahmurath Hasangholipour
Volume 10, Issue 1 , July 2023, , Pages 67-76
Abstract
Emerging companies or start-ups are growing rapidly and their number is increasing every day so that the number of knowledge-based and start-up companies in Iran has increased from about 55 companies in 2013 to more than 5965 companies in 2021. The capital element is the main and most productive factor ...
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Emerging companies or start-ups are growing rapidly and their number is increasing every day so that the number of knowledge-based and start-up companies in Iran has increased from about 55 companies in 2013 to more than 5965 companies in 2021. The capital element is the main and most productive factor for the success of start-ups and choosing the right financing method to achieve success is inevitable. The start-up literature offers a number of ways to finance entrepreneurs that are often presented in other geographies (often in startups operating in the United States) and those models cannot be accepted as non-native. Developing a strategic local financing framework based on the tacit knowledge gained by emerging digital startups can address this issue. Based on this, the present study aims to fill the existing gaps by designing a strategic financing framework for digital start-ups based on local criteria in order to be effective in the success of digital start-ups. The statistical population of the quality sector includes entrepreneurs and digital business owners, 30 of whom were identified by snowball method and interviewed in a semi-authorized manner. The statistical population of the quantitative section includes 166 digital businesses operating in Tehran science and technology parks that have been selected using Cochran's formula in a simple random method. To collect data, the method of library review and interviews with experts and finally the distribution of questionnaires have been used. The analysis of the findings in the qualitative stage was performed with a thematic analysis approach and the results showed that 101 open codes were categorized in 17 sub-themes and 17 sub-themes were placed in 5 main themes. In the quantitative stage, confirmatory factor analysis and structural equation modeling with LISREL software were used. The results showed that five main factors including corporate factors, macro environmental factors, investment factors, business valuation factors and idea and product factors are effective in designing digital business financing strategy.