During my course “Technology Entrepreneurship Part I” from Stanford University, (https://novoed.com/venture17) I was appointed the leader of the group of 10 multiskillls professionals. We were assigned to read a list of more than 300+ start-ups and to identify the most important attributes for success. Later, for each startup we should analyze the impact of each attribute on the business success assigning a number to measure the importance of each one.
Here are the most important finding:.
1. Most successful startups are based on a disrupting idea that breaks into the way business is handle.
- They usually satisfy a need not covered by any of the players on the market creating a differentiation from competition that in most of cases leads to a quick growth of users and businesses. From the implementation of the disrupting idea, startups keep ahead of competition by creating innovation from services and products.
2. Time to market and First to Business are a key element of success.
- While competition´s processes could delay final offer to customer, startups -based on internal innovation – reduce the processes allowing to customer to reach their solutions in a more faster way capturing customers first and retaining them using the same innovation process creates loyalty.
3. Huge Market Potential foresees revenues opportunities
- One of the key elements found on the analyzed startups is the opportunity to grow in a market. Most of the financing decision as well as any business plans are based on the market share that startup will gain within time what will secure TCO and revenue.
4. Team Building keeps the company going toward a common vision
- The passion for bringing customers new ways of businesses and to create wealth is done by a synergy among workers. Successful entrepreneurs team recognize the importance of creating an environment where ideas and rewarding are promoted , where everyone is motivated by the believe that their business is transforming industry improving local economies, and where staff create interdependence abilities to count on each other.
5. Innovation creates future services and products
- Although a disrupting idea creates the opportunity for a start-up, the fuel for keeping business is based on how company adapt continuously to satisfy customer needs improving and customizing products and services based on customer’s feedback
6. Financing ignites the fire.
- Getting financial resources is key for expanding business into a new markets Entrepreneurs should be active on explaining and selling investors the business idea.
7. Background secures the organization knowledge.
- Most of the successful start-ups were founded by people who have previous experience on the same type of business they were creating. By knowing the market they are capable to see any opportunity that could lead to a success business.
Entrepreneurs have been shaping the way to create businesses worldwide. From the previous analysis we found that although we can identify different attributes that would be part of a successful start-up, external factors such as the market, laws and government, competition, and economy´s conditions will rule which attribute will be key for success at a specific time and region. Therefore, entrepreneurs should be aware of all these external factors that could impact on the deployment of a start-up.