Survival strategies and characteristics of start-ups: An empirical study from the New Zealand IT industry

Publisher:
Elsevier
Publication Type:
Journal Article
Citation:
Technovation, 2008, 28 (3), pp. 161 - 169
Issue Date:
2008-01
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The purpose of this paper is to report the findings of an exploratory study on the characteristics of New Zealand start-up Information Technology (IT) firms that survived the dot.com collapse. The paper is based on in-depth interviews of nine entrepreneurs of start-up IT firms. The findings reveal core organizational characteristics that influence the realization of moderate strategies enabling survival. The firms that survived, projected characteristics of holistic strategic balance, mastering of resources, portrayed a unifying focus and made purposeful choices on resource allocations. In contrast, firms that failed projected a general lack of strategic balance, mastering and trade-off. These firms organizational themes realized excessively complex strategies with no distinct focus.
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