Original scientific paper
https://doi.org/10.17818/EMIP/2022/1.4
CAN BUSINESS MODEL COMPONENTS EXPLAIN DIGITAL START-UP SUCCESS? A Qualitative Analysis of the Business Models of Start-ups from the Perspective of German Venture Investors
Nina Schumacher
; State University, Leuphana University of Lüneburg, Lüneburg, Germany; Institute for Banking, Finance and Start-up Management, Chair of Start-Up Management
Abstract
This study explores the success relevance of business model components of digital start-ups from the perspective of German venture capital (VC) investors. In doing so, the study explains the importance of the business model in general and the importance of a convincing value proposition and a plausible revenue model in particular for the investment decision process of VC investors. The study takes an exploratory three-dimensional research approach that integrates the meso-perspective on the business model, the micro-perspective on the entrepreneurial personality, and the macro-perspective on the entrepreneurial context, thus operating in a very young research field. In contrast to most studies on this topic, this paper shows that the business model is not the key resource for the success of a start-up, while an early concept of a business idea might be. Communication and interaction with VC investors at this early stage can be valuable tools for the continuous development of the initial business idea.
Keywords
Start-up Success; Entrepreneurship; Business model; Venture capital investors; Value Proposition; Revenue Model; Digital Start-up
Hrčak ID:
278687
URI
Publication date:
6.6.2022.
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