STARTUPS

Literature review

NOVEMBER 12, 2021

Ghada Mohamed Mohamed Ibrahim

 “If you’ve got an idea, start today. There is no better time than now to get going.
That doesn’t mean quit your job and jump into your idea 100% from day one, but there’s
always small progress that can be made to start the movement.” Kevin Systrom, co-
founder of Instagram. Working at a startup can be an exciting and uniquely challenging
career experience. The extensive success of companies such as Facebook, Uber, and
Instagram have inspired many entrepreneurial-minded professionals to follow their
passions into the world of starting their own business. indeed the matter require starting
and drawing the objectives in the real life not only in our dreams. Startups can be seen
as small organizations, which have bold and replicable business models, in the
launching process or even with a short time of operation, where they have a high
potential with a focus turned to the activities of research and development of innovative
ideas (Rippa, 2017; Rompho, 2018). When considering the importance of startups in
emerging economies, the general objective of this research is to establish a systematic
literature review, which reflect the main purpose of start-ups has to do more with high
ambition, innovativeness and growth. It can be argued that people should have their
own private business, because starting up small business is challengeable, risky and
indeed give sense of pride and independence.

At first these companies has incur lot of expenses for business modelling, testing
and marketing their concept. These companies are very small, initially operated and
financed by an individual or by partners together; thereby the companies face many
challenges with limited resources. The government is also very keen in encouraging the
budding entrepreneurs. There are many fund houses now coming forward to provide
funds and at the same time act as incubators. The FDI policies are also very
encouraging; thereby the additional funds from other countries are also coming to our
country for investment. For Padrão and Andreassi (2013), startups aim at the growth in
sales to have the return on investment applied in the product development phase, as
these companies try to survive in their initial stage. (Matt Gavin, 2018) states that about
50 percent of small businesses survive their first five years, and there is a long list of
reasons why startups fail. Among the top reasons for a startup's failure is not having the
right team, which emphasize the need for founders to recruit people who are
enthusiastic about their organization’s mission and are driven to help it succeed.

Startups have smaller teams and fewer resources than mature companies do,
which enables to wear many hats that require taking many responsibilities. Jeffrey
Bussgang, general partner at early-stage venture capital firm Flybridge and senior
lecturer at Harvard Business School, says that loosely defined roles at startups lead to a
more unified team approach to achieve goals. In addition, do a lot of efforts and
experiments to test hypothesis after another. The ambiguity that comes with day-to-day
work teaches to respond, and tackle issues head-on allows picking up problem-solving
techniques and skills.

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 Passion is one of those intangibles that drives an entrepreneur, gets them through
the good times and the bad times, and ultimately dictates the success of any startup As
a startup builds and scales, it needs a team of people who are committed to its mission,
hungry for responsibility, and eager to learn. The decision to be a startup entrepreneur
is not always an easy one, but if you are willing to accept the risks and take the plunge,
it can be a fulfilling and worthwhile part of your journey, give a sense of pride and
challenge. Find enthusiastic people keen about the structure building, motivating them
with equity incentives to share in your collective successes. Entrepreneurs often hold
multiple passions that interact intra-individually to influence intentions, behaviors, and
venture outcomes (Cardon et al., 2009, 2017a; Huyghe et al., 2016)

While being an employee will not make you a billionaire, there is no limit to the
amount of money you can make. If your startup company does well, the rewards are
primarily yours. Employees are limited by the number of weeks in a year and the hours
they put in. There is some risk in anything you choose to do. In exchange for not being
completely responsible for an organization's success, employees take on a smaller risk
that they may fire or that the company may go out of business. Their financial rewards
are limited. By taking on a bit more risk and assuming responsibility for a company's
success, an owner can reap tremendous financial rewards. For sure getting financial
rewards is important, but the main factor for startup’s success is sustainability. Anita
Roddick, founder The Body Shop said “Nobody talks about entrepreneurship as
survival, but that’s exactly what it is and what nurtures creative thinking. Running that
first shop taught me business is not financial science; it’s about trading: buying and
selling” indeed what Anita Roddick said enhance the sustainability for startup.

To conclude what mentioned, the entrepreneur should possess with self-motivation to

face any tough situation very effectively, should have an ability to take risk. Because
without taking risk cannot be successful, and for sure be cautious for recruiting the team
that help for enhancing the success for the enterprise. By this, the dream become real
and achieve profitability and sustainability.

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References:

https://www.businessbecause.com/news/entrepreneurs/6302/10-motivational-quotes-
from-famous-entrepreneurs

https://online.hbs.edu/blog/post/benefits-of-joining-a-startup?tempview=logoconvert
https://web.p.ebscohost.com/ehost/pdfviewer/pdfviewer?vid=15&sid=fcd1019b-31c3-
47a2-b551-0264ffbf4d9c%40redis
https://www.researchgate.net/publication/322889427_Passion_for_entrepreneurship_or
_passion_for_the_product_A_conjoint_analysis_of_angel_and_VC_decision-
making/link/5ea841a4458515ca49f2b4af/download
https://smallbusiness.chron.com/three-biggest-rewards-having-own-business-
22768.html
https://www.kabbage.com/resource-center/grow/100-quotes-from-successful-
entrepreneurs/