Despite the awareness of the potential that digitization bears for innovation and entrepreneurship, the failure rate of technology startups is still close to 90%. Startup support systems, such as incubators or accelerators, are seen as important tools to help emerging companies overcome challenges in the early start-up phase. While researching the starting-up of an organization is challenging (since many new ventures are terminated before they become visible), the analysis of startup support systems seems promising to gather deeper insight of the process of new venture creation. Company builders (also known as startup studios, startup factories or venture builders), in particular, offer an extended support portfolio, which differs from that of other incubation models in that it combines “traditional” offerings like financial resources, managerial competencies, networking and physical infrastructure with technical competencies and active involvement in innovation process and prototyping. Recently published white papers claim that this approach leads to a 30% higher success rate in seed rounds of startups that emerge from a company builder compared to traditional startups (GSSN 2020). Using case studies and survey-based tools, within this project we are investigating how DCBs should ideally be structured and how the digital startups/entrepreneurs should be integrated within this organization.
Area of research