Lessons from the fastest Brazilian unicorn

André Luiz Tavares Damasceno,Gean Lucas Pannellini,Cristiano Morini

doi:10.1108/inmr-05-2021-0070

André Luiz Tavares Damasceno, Gean Lucas Pannellini + Show 1 more

Open Access

https://doi.org/10.1108/inmr-05-2021-0070

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Abstract

PurposeThe purpose of this paper is to analyze the process of why a Brazilian digital startup company reached unicorn status the fastest.Design/methodology/approachAfter the literature review, the authors conducted the questionnaire containing 13 questions used in 18 in-depth interviews conducted in the case study. Saturation point combined with the independent and in-depth analysis of the researchers is used to achieve internal and external validity. The primary data collected underwent an analytical approach, followed by a resource-based view (RBV). RBV does not deal with time. There is a gap in the literature and an opportunity here: to analyze the fastest company to become a unicorn under the RBV lens.FindingsThe case reveals that value can be found in traditional sectors, as is the case of the real estate sector. This is a case of a company in the direct home-buying space.Practical implicationsThe contribution of this paper is both practical, with the seven lessons, and theoretical. Resources allocated to a specific context in a specific geographic region shift the attention away from the absolute value of resources to the timing of aggregating them. Thus, the contribution accounting for time is new to the RBV.Originality/valueThe originality lies in the analysis of the dynamics of digital businesses with exponential growth.

Highlights

Digitalization, with the accelerated adoption of technologies in all areas of human life – work, study, entertainment and relationships – is a path of no return and the most important force of entrepreneurship and innovation (Berger, von Briel, Davidsson, & Kuckertz, 2019)
Contemporary entrepreneurship is driven by digital entrepreneurship, especially in innovation-driven countries (GEM, 2020)
The digital ecosystem includes big techs and startups of different sizes and sectors of activity, considering that digital entrepreneurship is defined as the process of the entrepreneurial venture to create value in digital streams (Sahut, Iandoli, & Teulon, 2019)

Summary

Introduction

Digitalization, with the accelerated adoption of technologies in all areas of human life – work, study, entertainment and relationships – is a path of no return and the most important force of entrepreneurship and innovation (Berger, von Briel, Davidsson, & Kuckertz, 2019). Individuals, companies and governments strive to get a hold of the fast-changing environment and somehow understand its compatibility with their principles, values and practices (Arlott, Henike, & H€olzle, 2019). Studies about the dynamics of digital entrepreneurship in emerging economies are still scarce (Al-Khateeb, 2019). Contemporary entrepreneurship is driven by digital entrepreneurship, especially in innovation-driven countries (GEM, 2020). Businesses that reach the unicorn status have been growing significantly, but discussions remain rare in the literature, representing an opportunity: to explore unicorn companies and The digital ecosystem includes big techs (such as Apple, Microsoft, Amazon and Alphabet, among others) and startups of different sizes and sectors of activity, considering that digital entrepreneurship is defined as the process of the entrepreneurial venture to create value in digital streams (Sahut, Iandoli, & Teulon, 2019).

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