Search Results (76)

This research examines the shifting geography of small firm innovation in the U.S. by tracking the location of small business innovation research (SBIR) and small business technology transfer (STTR) awardees between 2010 and 2024. The SBIR and STTR are “seed fund” awards coordinated by the Small Business Administration (SBA) and funded through 11 U.S. federal agencies. Of particular interest is whether the number of individual SBA awards, awarded firms, and/or funding amounts are (1) becoming increasingly concentrated within regional innovation hubs and (2) exhibiting a shift toward or away from urban centers and other walkable, transit-accessible urban neighborhoods, particularly since 2020 and the COVID-19 pandemic. While the rise of remote work and pandemic-related fears may have reduced the desirability of urban spaces for both living and working, there remain significant benefits to spatial agglomeration that may be especially crucial for startups and other small firms in the knowledge- or information-intensive industries. The results suggest that innovative activity of smaller firms has indeed trended toward more centralized, denser, and walkable urban areas in recent years while also remaining fairly concentrated within major metropolitan innovation hubs. The pandemic appears to have resulted in a measurable, though potentially short-lived, cessation of these trends. Full article

This paper explores the effectiveness of an innovative FinTech risk-scoring model to predict the risk-appropriate return for short-term credit sales. The risk score serves to mitigate the information asymmetry between the seller of receivables (“Seller”) and the purchaser (“Funder”), at the same time providing an opportunity for the Funder to earn returns as well as to diversify its portfolio on a risk-appropriate basis. Selling receivables/credit to potential Funders at a risk-appropriate discount also helps Sellers to maintain their short-term financial liquidity and provide the necessary cash flow for operations and other immediate financial needs. We use 18,304 short-term credit-sale transactions between 23 April 2020 and 30 September 2022 from the private FinTech startup Crowdz and its Sustainability, Underwriting, Risk & Financial (SURF) risk-scoring system to analyze the risk/return relationship. The data includes risk scores for both Sellers of receivables (e.g., invoices) along with the Obligors (firms purchasing goods and services from the Seller) on those receivables and provides, as outputs, the mutual gains by the Sellers and the financial institutions or other investors funding the receivables (i.e., the Funders). Our analysis shows that the SURF Score is instrumental in mitigating the information asymmetry between the Sellers and the Funders and provides risk-appropriate periodic returns to the Funders across industries. A comparative analysis shows that the use of SURF technology generates higher risk-appropriate annualized internal rates of return (IRR) as compared to nonuse of the SURF Score risk-scoring system in these transactions. While Sellers and Funders enter into a win-win relationship (in the absence of a default), Sellers of credit instruments are not often scored based on the potential diversification by industry classification. Crowdz’s SURF technology does so and provides Funders with diversification opportunities through numerous invoices of differing amounts and SURF Scores in a wide range of industries. The analysis also shows that Sellers generally have lower financing stability as compared to the Obligors (payers on receivables), a fact captured in the SURF Scores. Full article

The summarized content of one or more extensive text documents helps users extract only the most important key information, instead of reviewing and reading hundreds of pages of text. This study uses extractive and abstractive mechanisms to automatically extract and summarize information retrieved from various web documents on the same topic. The research aims to develop a methodology for designing and developing an information system for pre- and post-processing natural language obtained through web content search and web scraping, and for the automatic generation of a summary of the retrieved text. The research outlines two subtasks. As a first step, the system is designed to collect and process up-to-date information based on specific criteria from diverse web resources related to project funding, initiated by various organizations such as startups, sustainable companies, municipalities, government bodies, schools, the NGO sector, and others. As a second step, the collected extensive textual information about current projects and programs, which is typically intended for financial professionals, is to be summarized into a shorter version and transformed into a suitable format for a wide range of non-specialist users. The automated AI software tool, which will be developed using the proposed methodology, will be able to crawl and read project funding information from various web documents, select, process, and prepare a shortened version containing only the most important key information for its clients. Full article

Higher education institutions (HEIs) are increasingly seen as central actors in entrepreneurial ecosystems, yet their support mechanisms do not always align with the needs of student entrepreneurs. This study investigates how key stakeholders, business students, professors, and experienced start-up founders perceive the relative importance of success factors for student-led start-ups within HEIs. Using a cross-sectional descriptive design, this study used a 34-item survey instrument developed through an extensive literature review and validated for content by a panel of experts. Triangulation between stakeholder groups enabled a multidimensional comparison of perspectives. Descriptive statistics were used to analyze patterns of agreement and variability, resulting in a three-tier framework of success factors based on perceived importance and consensus. High-impact factors included faculty entrepreneurial experience, student mindset, and access to mentorship, while traditional inputs such as infrastructure, legal support, and funding were ranked lower. The findings highlight a misalignment between institutional offerings and stakeholder priorities, highlighting the critical role of social and human capital. This research provides practical guidance for HEIs seeking to improve entrepreneurial support and contributes to theoretical discussions on stakeholder-informed ecosystem models. Although limited by its single-institution context, this study offers a foundation for future cross-institutional and longitudinal research. Full article

(1) Background: The survival and growth of startups in their early stages are negatively impacted by the lack of financial sustainability and scarce resources that entrepreneurs face during the first 5 years. This is known as the Valley of Death (VoD). This study seeks to identify key factors that influence the financial sustainability of startups during the VoD, which demands a significant amount of funding and government support. (2) Methods: A quantitative methodology was employed, based on a worldwide literature review that pointed out the variables of the object of study; the information collection process was conducted through a questionnaire applied to 352 entrepreneurs in an innovative ecosystem. This study empirically applies a structural equation model to determine the relationship between constructs. (3) Results: A comprehensive analysis of the results indicates that indicators such as positive sales performance, sufficient financial solvency to meet short- and long-term commitments, accurate pricing policies, and access to government and banking support are the primary factors affecting the sustainability of startups in the early stages. (4) Originality: This study provides original and relevant insights into the indicators that affect the financial sustainability of startups during the VoD and offers interesting insights for governments, institutions, and entrepreneurs to foster innovative ecosystems; it also contributes to the extant literature on early-stage entrepreneurial failures. Full article

In the sustainable evolution of the entrepreneurial ecosystem, the efficiency of early-stage capital allocation directly affects the intergenerational transmission capacity of innovation resources. The financing barriers caused by information asymmetry urgently require institutional solutions. This study, based on tracking data from 19,463 startups in China’s information technology sector (2016–2019), analyzes how government-certified incubators (GCIs) optimize the sustainability of the entrepreneurial ecosystem through signaling mechanisms. The empirical results show that collaboration with a GCI can significantly increase the likelihood of IT startups securing venture capital by approximately 25%. This effect is not only due to the strict screening and resource support provided by GCIs, but also due to their role in amplifying internal signals from startups, such as the experience of founders and intellectual property. Notably, in the IT sector, the impact of GCIs is more significant for startups traditionally disadvantaged, particularly those led by female founders. Our research demonstrates that GCIs drive the sustainable development of the entrepreneurial ecosystem through three signaling mechanisms: (1) institutional certification screening, which optimizes the intergenerational allocation efficiency of ecosystem resources; (2) the signaling validation–amplification mechanism, which enhances the value of intellectual property and founder experience, alleviating investors’ challenges in quantifying startup potential; (3) inclusive signal rebalancing, where GCI certification significantly improves the funding success rate of female founders, breaking traditional market biases in screening disadvantaged groups and supporting the inclusive and sustainable development of the entrepreneurial ecosystem. These findings provide a new pathway for emerging economies to optimize the resilience of their entrepreneurial ecosystems through policy tools: for governments, GCIs achieve sustainable development goals at low institutional cost; for investors, the signal integration mechanism reduces investment information friction; and for entrepreneurs, certification endorsements accelerate market validation of sustainable business models. Full article

Cultured meat (CM) is currently experiencing a surge in popularity, primarily due to its promise to produce animal-based products with a lower environmental impact and a higher level of animal welfare. Although CM production remains limited and lacks pre-market approval (except for Singapore and the USA), recent technological advancements have been notable. A greater number of stakeholders, including biotechnology companies, start-ups, private investors, NGOs and big agrifood companies, are entering the CM value chain. This paper aims to aggregate, synthesize, and analyze existing studies on the CM value chain to highlight the characteristics, methodologies, and topics they address. Our secondary purpose is to analyze elements emerging in terms of global value chain dynamics. To do so, this study applies a conceptual framework based on the interplay of the Entrepreneurial Ecosystem and global value chain frameworks. This systematic literature review identifies 43 studies and shows that the most addressed topics are regulations on pre-market approval and labelling, technological progress, the use of patents, the availability and sources of funding, and actors’ roles in the CM market. The analysis and discussion of these findings highlight key aspects of the CM global value chain and present further areas of research to investigate the governance of the chain. Full article

Whether or not business planning is useful for entrepreneurs is a critical question both academically and practically. While some studies suggest that structured business planning enhances business performance, others argue that it may be unnecessary or even counterproductive in uncertain environments. This lack of consensus creates a gap between academic research and practical application, leaving entrepreneurs without clear guidance on when and how to engage in business planning and what impact it may have. To address this issue, we conducted an integrative literature review on the effectiveness of business planning in entrepreneurship. The results of our review suggest that business planning is generally effective, and we categorize its effects into three aspects: (1) economic effects, such as start-ups’ improved sustainability and profitability; (2) external and symbolic effects for stakeholders, including enhanced decision-making for external funding, trust building, vision legitimization, and stakeholder engagement; and (3) internal and psychological effects, such as improved decision-making, cognitive enhancement, and flexibility for entrepreneurs. This article also highlights the gaps in the literature, particularly regarding the relationship between business planning and factors such as time, environmental conditions, feedback loops, entrepreneurial passion, and psychological ownership. To fully leverage the benefits of business planning, we propose six evidence-based recommendations to guide entrepreneurs in effectively utilizing this critical tool. Full article

This study fills a crucial gap by offering fresh insights into healthcare entrepreneurs’ characteristics and decision-making, enriching the understanding of entrepreneurial behavior. Employing a mixed-methods approach, by combining qualitative and quantitative data, the researchers examined how factors such as age, gender, education, number of children, marital status, and house ownership influence business orientation. Utilizing both quantitative data, collected through surveys, and statistical analyses, conducted in EViews 12, data drawn from 113 Romanian medical start-ups revealed that marital status was a significant determinant, with single individuals exhibiting a profit-centric approach, while couples or married entrepreneurs prioritize patient well-being. Also, the lower the sense of ownership, the lower the number of co-founders there was in the start-up. The motivation of entrepreneurs involved in start-ups with more than two co-founders, is based on the motivation behind a problem that directly affected the entrepreneurs themselves. An unexpected result was found regarding the healthcare entrepreneurs that perceive failure more due to lack of funding than competition, especially in profit-focused ventures, shaping their decision-making. To shape managerial implications, the authors depicted the swim lane decision-making process diagram based on these insights. Full article

Drug discovery and development require significant costs and time, making investment acquisition crucial. However, there are few biopharmaceutical startups with high valuations in Japan. Unlike other countries, entrepreneurship in Japan is relatively inactive, and startups have a minimal presence in the drug-discovery field. Instead, in Japan’s innovation system, research and development (R&D) has been led by large incumbent companies, which are believed to have a wealth of promising assets and talent. This study tested the hypothesis that biopharmaceutical startups leveraging these assets and talent might be more attractive to investors by regression analysis using a dataset of Japanese unlisted biopharmaceutical startups. The results demonstrated that Japanese biopharmaceutical startups showed significantly higher valuations and total funding amounts if they were corporate spin-offs (CSOs). Additionally, they achieved significantly higher valuations and total funding amounts if their R&D lead persons had corporate backgrounds. These findings suggest that in Japan’s innovation system, which is centered on large companies, CSOs and startups leveraging R&D talent with corporate experience may be more appealing to investors. Full article

Funding is an essential factor for the viability and growth of startups. As a result, business angels play a crucial role in providing financial support to these business companies, particularly those that are innovative and have significant potential for growth. This study sought to determine the role business angels play in the early-stage financing of startups. Specifically, the study looked at the value-added services provided by business angels, business angel funding impact on startup survival rates, the effectiveness of business angel networks’ impact on facilitating startup funding, and business angels’ contribution to the development of entrepreneurial ecosystems beyond financial investment for startups. This study adopted a systematic literature review methodology, employing key theoretical methods such as analysis, synthesis, comparison, and induction to assess the role business angels play in the early-stage financing of startups. The findings show that business angels’ expertise, networks, and mentorship emerge as critical value-added startup services. Similarly, it was found that business angel funding positively influences startup survival; however, other factors also influence this impact. Moreover, the results show that business angel networks play a significant role in facilitating startup funding. Furthermore, beyond financial investment for startups, it was found that business angels contribute significantly to the development of entrepreneurial ecosystems, including prioritizing the contributions of ecosystem builders in startup screening, access to mentoring, and entrepreneurial education. The study concluded that business angels play a positive role in the early-stage financing of startups. Full article

This paper delves into the critical determinants of renewable energy consumption, focusing on the contrasting roles of oil imports and exports. It aims to bridge the knowledge gap by comparing these determinants across both oil-importing and oil-exporting nations, offering a comprehensive and nuanced perspective to inform policy recommendations. Using annual data from 1990 to 2018 sourced from the World Bank database, the study employs panel multiple regression analysis and adopts a fixed effects model to explore two main questions: What drives the use of renewable energy sources? How does a country’s oil importer or exporter status affect these factors? The findings reveal a significant but inverse relationship between oil rents and renewable energy consumption (REC) for both types of countries. Additionally, there is a notable negative correlation between GDP growth and REC for both oil-exporting and oil-importing countries. Interestingly, the crude oil average closing price and inflation show an insignificant impact on REC in both contexts. The study also highlights that net energy imports significantly affect REC, with a much stronger inverse relationship in oil-importing countries compared with oil-exporting ones. For oil-importing countries, diversifying energy sources is a crucial investment. Governments should prioritize research and development in renewable energy to spur technological advancements, enhancing efficiency and affordability. Economic growth-promoting policies, such as tax incentives and subsidies for renewable energy businesses, are vital for encouraging sustainable practices. Consistent, long-term policies are essential for providing investor confidence and supporting the transition to renewable energy. For oil-exporting countries, similar strategies are recommended. Additionally, allocating a portion of oil revenues to renewable energy infrastructure and funding research and development in renewable technologies through local universities and startups are crucial steps. This dual approach will not only enhance energy diversification but also foster innovation and sustainability in the energy sector. Full article

The rapid evolution of technology has reshaped the global economy, intensified competition, and prompted industry players to embrace innovation to maintain sustained competitiveness. In Indonesia, business incubators, overseen by universities and provincial/city governments, are pivotal. However, understanding the determinants of business incubator performance remains limited. This study investigates 24 statement items aiming to uncover the factors influencing technology business incubators in Indonesia, focusing on knowledge management as a mediating variable from a knowledge-based perspective. Employing a quantitative approach, structural equation modeling (SEM) is utilized to scrutinize these factors’ impact on business incubator performance. The findings reveal that knowledge management serves as a full and partial mediator among funding support, government assistance, incubator governance, and business incubator technology performance. This research offers valuable insights for entrepreneurs and stakeholders by emphasizing the significance of funding, governmental backing, incubator governance, and knowledge management in enhancing incubator business technology performance in Indonesia. Full article

This paper explores the elements of support and development of entrepreneurship in Ukraine. It suggests that digitalization is an important organizational component in the development of the business sector in the knowledge economy. The authors present a comprehensive study of the most advanced domestic business ecosystems (Diia, UNIT.CITY, Genesis) and highlight their key characteristics, i.e., type of ownership, structure, mission and vision, services for entrepreneurs, investment fund availability, and areas and types of investment. The paper concludes that support for entrepreneurship in Ukraine is based on the principles of efficiency, accessibility, social security, openness, and transparency. Entrepreneurship support is considered as a set of measures of the state-funded and private institutions and organizations aimed at ensuring the sustainable functioning of small and medium-sized business entities and stimulating their development by creating the following favorable conditions: building a competitive environment and increasing competitiveness; fostering investment and innovation efforts; promoting manufactured goods (works, services) or knowledge-based products in domestic and foreign markets; ensuring employment by supporting the citizens’ entrepreneurial initiatives. Areas of public and private support of domestic entrepreneurship include provision of information, consultancy, and special services. Moreover, the paper pays special attention to the forms and methods of supporting businesses and entrepreneurship under martial law in Ukraine in 2022. Full article

Artificial intelligence, particularly machine learning, has revolutionized organizational decision-making processes by assuming many decision responsibilities traditionally allocated to humans. In this scenario, decision-support systems based on AI have gained considerable relevance, although the attitudes of managers toward intelligent agents are still unbalanced towards human intervention in decision-making. An additional level of complexity arises when the development of these systems occurs within the context of investments in human capital, such as startup funding or organizational development. In this field, decision-making becomes even more critical, since it implies the will, goals, and motivations of every human actor involved: the investors and those seeking investments. termed multi-actor decision-making, this process involves multiple individuals or groups of individuals who, starting from non-coincident objectives, must reach a mutual agreement and converge toward a common goal for the success of the investment. Considering these challenges, this study aims to apply the design thinking technique as a human-centered methodology to support the design of an AI-based multi-actor decision-support system, conceived by Mylia (The Adecco Group), in the field of organizational development. Additionally, the integration of strategic organizational counseling will be introduced to facilitate the modeling of internal DM processes within the provider organization, enabling the seamless flow of internal behaviors from the decision-support system’s conceptualization to its integration in the external market. Full article