The Determinants of Success and Divergent Aspects of the Startup Companies Development in the Global Business Environment

• Main Authors: Halakhova Tetiana O., Yevdochenko Olena O., Kyslytsyna Olga V.
• Format: Article
• Language: English
• Published: Research Centre of Industrial Problems of Development of NAS of Ukraine 2021-08-01
• Series: Bìznes Inform
• Subjects: startup; innovative product; startup company; startup economy
• Online Access: https://www.business-inform.net/export_pdf/business-inform-2021-8_0-pages-6_12.pdf

The article is aimed at researching the determinants of success and divergent aspects of the development of startup companies in the modern global business environment in order to substantiate effective technologies for their development. Thus, the global vector of economic, technological, socio-cultural development determines the emergence of progressive economic concepts, which are currently represented by the following formulations: digital economy, gig economy, knowledge economy, service economy, innovative and creative economy, sharing economy, etc. The authors analyzed two significant criteria that are most common in determining a startup company: innovative product and rapid growth rate. A comparative analysis of both startup-based and traditional business was carried out, which allowed to outline key divergent aspects of these concepts, namely: local and global ambitions; scalability of business; product innovativeness; information and digital technologies; trajectory of successful development; commercial interests; organizational structure; business model transformation; business ecosystems, etc. The authors analyzed key determinants of success and failures of startup projects based on the following criteria: idea, business model, launch time, team, marketing strategy, investment, system of mission, goals, and values. Prospects for further research in the context of the development of startup companies in the modern business environment are the systematization of successful cases and the development of certain mechanisms for improving the efficiency of activities of startup companies.