• The Journal of Industrial Distribution & Business
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• v.9 no.11
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• pp.39-54
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• 2018

Purpose - To success, in spite of deficient resources, a start-up company has to check various circumstances. Many researchers proposed different appraisal methods for technology commercialization. But everybody agrees Merrifield is the first one, who is a pioneer of an appraisal model of technology commercialization. After he proposed it, many researchers and field workers developed a more complicated model, which called a BMO model. In this research, considering the circumstances of start-ups that lack available resources, it proposes a new appraisal method for technology commercialization, which is named a weighted-BMO model. Research design, data, and methology - For the new BMO-model, it studied the preceding studies. And it found that the success factors for start-ups were correlated with technology commercialization. After comparing the success factors for technology commercialization of start-ups with BMO appraisal factor, it withdraws the net BMO appraisal model: which we are calling the weighted-BMO model. Results - This study found a few things. First, actually, the BMO appraisal factors related with the success factors of technology commercialization. Second, the weighted-BMO model, which included the entrepreneur ability factor, was more accurately estimated the success of technology-based start-ups than the BMO model. Third, it overcame the weakness of the BMO-model, which did not include quantitative factors. In addition to evaluating the feasibility of the BMO model, we also presented a strategy for the future direction. But, still, it included a few shortcomings, which we are calling the arbitrage of weighted value. Sometimes, the intentional weighted value can deliberate the different valuation. Conclusitons - Due to this study, the weighted-BMO model included appraisal factors related with the success factors of technology commercialization and the entrepreneur ability factor, and quantitative factors. When evaluating the combined score of the existing Merrified BMO components, 35 points of the first pass criterion accounted for 29.17% of the total score, and 80 points of the merit score of the second rank criterion were 66.67% Considering that the weighted sum is taken into account, the baseline score of the weighted summing method for each component of the modified BMO model is 2.92 points, which is 29.17% of the weighted sum total of 10 points. The evaluation score was 6.67 points, 66.67% of the weighted total score of 10 points.

• Korean small business review
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• v.42 no.4
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• pp.309-326
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• 2020

There often is information asymmetry between start-ups and the investors, which is because start-up companies in the early stages do not have track records. Meanwhile, since the government grants programs go through a fair and the intense competition process, the government grants can provide a more objective information for start-ups in the early stages and perform a signal function that guarantees a company's capabilities and potential. This study confirms the quantitative relationship between government grants and investment attraction by using the hurdler model. We found that, although there is the proportionate relationship between the scale of government grants and that of external funds, more than a certain amount of government grants is required for technology-based start-ups to exceed the stage of attracting their first external funds. Our findings suggest that it is necessary to consider the hurdles structure in the study of signaling theory perspective, as the mechanisms for determining whether or not to attract external funds are different from determining the level of external funds. In addition, differentiated policy support is needed to help early-stage technology start-ups go beyond the threshold of investment attraction-the creation of a 'threshold effect'.

• Asian Journal of Innovation and Policy
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• v.7 no.3
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• pp.625-645
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• 2018

This paper's objective is to draw a decision guideline to continue research and development (R&D) investments in biotech start-ups facing the "Valley of Death" syndrome - a long negative profit period during a financial crisis. The data include financial indices as Net income, Revenues, Total stockholders' equity, Cash & equivalents, and R&D expenses of 18 major biotech companies (nine in negative profit and nine positive, in FY2008) and 15 major pharmaceutical corporations as benchmarks both in FY2008 and in FY2016 derived from the US SEC Database, EDGAR. A first methodology dealing with real options analysis assumes Total stockholders' equity as a growth option. And a second methodology, Bayesian Markov chain Monte Carlo (MCMC) analysis, is applied to test the probability relationship between the Total stockholders' equity and the R&D expenses in these three groups. This study confirms that Total stockholders' equity can play the role of a call option to support continuing R&D investments even in negative profits.

• Journal of Information Technology Services
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• v.16 no.4
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• pp.121-136
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• 2017

Recently, many people are interesting for Start-up and government also try to support their business because it can contribute economic growth. However, in Korea, despite there are many education and supporting programs for them, many Start-ups are failed to retain their business because they actually do not know what they do. Although prior studies for Start-up have pointed that education for them is very important for success, education programs for them only focus on theories rather than practices. Moreover, Start-ups need tools for supporting to business plans or information for their business. Therefore, in this study, we propose IT service functions for Start-up information system supporting Start-up competency. For this purpose, we conduct Delphi and Importance-Performance Analysis with experts on start-up. In experiments, we divided stage of business into three stages; business planning, implementation, growth and diversification. And we draw important tasks from experts in each stage. As a result, we find some tasks to concentrate for Start-up information systems. And we also find tasks which are not important for company founders. Through these results, we expect that the development of functions for supporting those important tasks will help increase the efficiency of Start-up companies and the survival rate of them.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.19 no.1
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• pp.119-133
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• 2024

As a result of significant investments by the government in promoting public technology commercialization and fostering a venture startup ecosystem, there have been quantitative achievements, such as the registration of over 1,600 Innopolis Start-ups since 2006, generating a total revenue of 1.1 trillion won as of 2021. However, these achievements have been overshadowed by critical qualitative challenges, including a continuous decline in average revenue per Innopolis Start-up. This led to a focus on whether managers' technological and market orientations affect business performance. This study aims to provide insights into improving the qualitative growth of Innopolis Start-ups by analyzing the effects of technological and market orientations on business performance, as well as the moderating effects of adjusting marketing and research and development (R&D) costs on this relationship. Through prior research and empirical analysis, this study derives three main findings. First, technological excellence and innovation significantly influence the business performance of Innopolis Start-ups, while technological intensity does not. Second, customer orientation and competitive orientation significantly impact business performance, whereas entry barriers as a single factor do not. Third, adjusting marketing and R&D costs, as controlled variables obtained through general situations, has no direct impact on other variables. However, it interacts with entry barriers, influencing financial business performance, with R&D costs exhibiting a negative buffering effect and marketing costs showing a positive enhancing effect. This study confirms that both technological and market orientations directly influence the business performance of Innopolis Start-ups, thus being crucial factors affecting their growth. Moreover, it establishes that investments in marketing and R&D play significant roles in alleviating initial entry barriers and enhancing financial performance. Consequently, it underscores the importance of reinforcing technological and market orientations tailored to the characteristics of Innopolis Start-ups. Additionally, it proposes five theoretical contributions: strengthening institutional support systems for technology commercialization and innovation, improving qualitative evaluation criteria during the selection process of Innopolis Start-ups, conducting comprehensive analyses of technological and market aspects during startup selection, enhancing support for marketing education and consulting for smooth market entry, and supporting expenditure strategies and milestone setting tailored to the industrial characteristics of individual Innopolis Start-ups.

• International Journal of Internet, Broadcasting and Communication
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• v.14 no.3
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• pp.222-229
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• 2022

Through this technology development, companies that operate online shopping malls and prospective startups will support education, consulting and expert group matching so that they can solve various issues that may arise in the course of the entire business life cycle, from startups to closures. It is expected that differentiated consulting programs will be designed for companies that currently operate shopping malls and start ups, and customized consulting programs will be provided to improve the effectiveness of consulting while improving customer satisfaction. It is planning to develop a "successful start-up and operation helper" that helps successful start-ups. It is a system that primarily diagnoses problems of prospective entrepreneurs and operators through an automation system at the start-up and operation stage, and professional consultants participate to derive and solve problems, and takes care of all stages of shopping mall birth and growth. In this paper Metaverse based shopping mall Creation is also discussed. Through Big Data creation these accumulated data, we intend to help operators start and operate shopping malls through accurate information by managing all knowledge of shopping malls as a system in the long run.

• Journal of Distribution Science
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• v.11 no.10
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• pp.37-45
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• 2013

Purpose - Appropriate response to the fast changing economic environment determines SMEs' competiveness in the era of globalization and open market and, therefore, government policies to strengthen SME's competitiveness will be very important in the future. It is time to investigate the element of strategic orientation that is necessary for strengthening the competitiveness of SMEs, and its effect on the success of a business start-up. This study analyzes the network orientation in addition to existing strategic orientation, and focuses on price and quality management capability as mediators for strategic orientation and outcomes of business start-ups. Research design/data/methodology - The orientations of technology-based business founders were classified into market, technology, network, and entrepreneurial orientation. We then investigated the effect of these orientations on product price and quality management capability, as well as the influence of price and quality management capability on the outcome of a business start-up. This study is based on the nation-wide survey of the founders and members of technology-based business establishments. The survey was administered to 300 selected companies via email for a period of one month, at the end of which 175 companies replied with valid answers. Further, for effective and objective research, we used SPSS 14.0 and Amos 7.0 for structural equation modeling assumptions and hypothesis verification. Results - Except for entrepreneurial orientation, the other three orientations, namely, technology, market, and network orientations, affect the price management capability according to our results. The price management capability relates significantly with the sales and customer satisfaction. Especially, technology orientation is the core competency of start-ups that affects price and quality management capabilities. However, technology and entrepreneurial orientation do not influence the outcome of business start-ups, but affect their quality management capabilities. Conclusions - This study confirms that the strategic orientation affects product price as well as quality management capabilities, to introduce new products and achieve successful outcomes. In conclusion, new business founders face the dilemma of trade-off between price and quality in the planning stage of new product development. In particular, price management capability directly affects the outcome. Therefore, price management is more important for a successful start-up than quality management. Especially, during the initial stages of starting up a new business, price management capability entails following the market-leading company, or price penetration strategy. In this stage, price management is dependent on the information from outside rather than on the founder's decision, and it directly affects sales performance and customer satisfaction. In contrast, quality management capability is directly related to the technology capability and market experience of founders. In this case, subjective and proactive decision making is required for differentiation and development of demand in the niche market, which does not directly influence the sales performance and customer satisfaction.

• Journal of the Korean Data and Information Science Society
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• v.27 no.4
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• pp.1067-1074
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• 2016

A start-up demonstration test is a mechanism that is usually used to determine the reliability of equipment, for example water pumps, car batteries and power generators. The simplest and oldest start-up demonstration tests are called CS (consecutive successes) which have been studied by Hahn and Gage (1983), Viveros and Balakrishnan (1993).At first Hahn and Gage (1983) discussed the start-up demonstration test. I was based on i.i.d (independently and identically distributed) binary outcomes with the specified number of consecutive successful start-ups. Oh (2016) studied CSNCF (consecutive successful, but not consecutive failures). In this paper, we investigated the CS and CSNCF models, also their applications to start-up demonstration tests. The numerical results showed that the expectations and variances of the total number of attempted start-ups until the acceptance of the unit are gradually increasing in all of the specified number of successes as the p (probability of a successful start-up in an single trial) decreases from 0.99 to 0.90. The difference between means of the CS mode and CSNCF model is small, but variances of the CS and CSNCF are big.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.9 no.4
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• pp.41-53
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• 2014

There has been lots of discussions and new policies to encourage people to start new businesses. However, they key issue such as how to raise the success rate of new start-ups still needs to be resolved. Many believe that the success of policies and discussions for promoting entrepreneurship in Korea highly depends on how to lower the risks with which early stage start-ups encounter. In this backdrop, this study aims at providing an emerging approaches in entrepreneurship, 'lean start-up', which can work as an effective method with which early stage entrepreneurs can minimize challenges they face. Even though lean start-up is a widely accepted concept among practitioners and recognized as a useful tool for entrepreneurship and education, but has not got deserved attention from the academic world. This paper offers basic framework and key principles of lean start-ups, furthermore, shows Korean cases of step-by-step application methods of its concepts. It also suggest key issues in adopting lean start-up strategy. This study has implications and contributions for entrepreneurs, educators and researchers through providing comprehensive perspectives on process of the lean start-up strategy.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.15 no.3
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• pp.73-88
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• 2020

The majority of previous research on start-ups consist of research on leading variables that affect the entrepreneurial intention related to start-ups established by young people, college students or senior citizens, and the influencing relationships regarding start-ups in the sense of their form such as independent start-ups, franchising start-ups, small business start-ups, etc. It is difficult to find research on entrepreneurial intention targeting office workers. This study investigates the question of how office workers' entrepreneurial mindset affects their entrepreneurial intentions, focusing on mediating role of social capital and moderating role of state-action orientation. We use survey data to empirically test the relationships between the variables in question. This study finds the presence of the positive effect of entrepreneurial mindset on social capital that significantly promotes entrepreneurial intention, demonstrating mediating role of social capital. We understand the existence of moderator, action state, showing that entrepreneurial intention is affected by interaction of entrepreneurial mindset and action state, not entrepreneurial mindset alone. We propose some policy implications based on the results of this study, and lists the limitations of the study.