Technology Ventures Research Articles

Environmental Sustainability Orientation, Reward-Based Crowdfunding, and Venture Capital: The Mediating Role of Crowdfunding Performance for New Technology Ventures

Extant literature has investigated the effects of new ventures’ environmental sustainability orientation (ESO) on the crowdfunding (CF) performance and on the ability to secure venture capital, separately and with mixed results. In this article, we address the study of these relationships simultaneously. Specifically, we examine how the presence of ESO features influences new technology-based ventures’ ability to secure funding in reward-based CF campaigns and how the CF performance mediates the effect of such features on attracting subsequent venture capital. Using a sample of new hardware ventures that have launched a CF campaign on Kickstarter, we document a negative effect of the presence of ESO on CF performance. We also find that, for new hardware ventures using reward-based CF, the presence of ESO has a positive direct effect on the likelihood of receiving subsequent venture capital after CF, as well as a negative indirect effect due to its negative impact on the performance in CF.

Open source software and global entrepreneurship

This is the first study to consider the relationship between open source software (OSS) and entrepreneurship around the globe. This study measures whether country-level participation on the GitHub OSS platform affects the founding of innovative ventures, and where it does so, for what types of ventures. We estimate these effects using cross-country variation in new venture founding and OSS participation. We propose an approach using instrumental variables, and cannot reject a causal interpretation. The study finds that an increase in GitHub participation in a given country generates an increase in the number of new technology ventures within that country in the subsequent year. The evidence suggests this relationship is complementary to a country's endowments, and does not substitute for them. In addition to this positive change in the rate of entrepreneurship, we also find a change in direction—OSS contributions lead to new ventures that are more mission- and global-oriented and are of a higher quality. Together, the results suggest that OSS can boost entrepreneurial activity, albeit with a human capital prerequisite. Finally, we consider the implications for policies that encourage OSS as a lever for stimulating entrepreneurial growth.

Entrepreneurship education and its gendered effects on feasibility, desirability and intentions for technology entrepreneurship among STEM students

PurposeThis study aims to examine how entrepreneurship education influences intentions for starting a technology venture among science, technology, engineering and mathematics (STEM) students with particular attention to gender differences. This study builds on the model of entrepreneurial event and social role theory to assess the impact of entrepreneurship education on feasibility, desirability and intentions for technology entrepreneurship.Design/methodology/approachThe hypotheses are tested with a sample of 879 Bulgarian science and engineering students from 15 universities. To test the models, this study uses ordinary least squares and logistic regressions with robust standard errors and Hayes mediation analysis with bootstrap bias-corrected confidence interval estimations for indirect effects. Two-stage Heckman regressions to control for sample selection bias and other robustness checks including propensity score matching were used.FindingsResults show that entrepreneurship education, measured as participation in an entrepreneurship course, has a stronger impact on feasibility, desirability and intentions for technology entrepreneurship for female STEM students compared to their male counterparts. As such, this study supports the notion that entrepreneurship education could be part of a solution to counteract societal norms that position technology entrepreneurship as a less desirable and/or less feasible choice for women in STEM. However, attention should be paid to the operationalization of entrepreneurship education, as other measures of entrepreneurship education (role models, entrepreneurship education support) did not have a moderation effect with gender.Research limitations/implicationsThe authors assume a positive correlation between entrepreneurial intentions and entrepreneurial behavior. Future studies should include actual entrepreneurial behavior to paint a more complete picture of the effect of entrepreneurship education.Originality/valueLittle is known about the role of entrepreneurship education in the field of technology entrepreneurship, and even less about the potential gender differences in entrepreneurship education among STEM students. The study contributes to the literature by examining factors that could help close the persistent gender gap in technology entrepreneurship.

The influence of gender and social attention to gender equality on applicant acceptance into venture development programs: competing perspectives

PurposeThe purpose of this paper is to add to the small but growing body of research examining the influence of founder gender on new venture access to venture development programs.Design/methodology/approachHypotheses were tested utilizing a sample of 482 nascent technology ventures which applied for admittance into a venture development organization headquartered in the southern region of the United States from March 2004 through February 2016.FindingsFindings suggest that female-founded applicant ventures experience a higher likelihood of acceptance into venture development programs than male-founded applicant ventures. Results further suggest that social attention to gender equality reduces this effect for female-founded applicant ventures. Findings extend the understanding of the gendered nature of high-technology venturing and venture development organizations.Research limitations/implicationsThe findings of this study may not generalize to new ventures operating in other contexts (e.g., non-U.S., low-tech, and other venture development programs). Additionally, this study's design and data limitations do not allow for the establishment of causality or address founder motivations to apply for acceptance into venture development programs.Originality/valueThis study adds to empirical findings regarding the influence of founder gender on new venture acceptance into venture development programs by developing and testing competing hypotheses. This study also extends extant research by examining the moderating effect of social attention to gender equality on the hypothesized relationships between founder gender and acceptance into venture development programs.

The evolving relationship of entrepreneurship, technology, and innovation: A topic modeling perspective

Entrepreneurship is considered as a strong pillar for economic growth. In today's competitive era, technology and innovation facilitate firms’ competitiveness and long-term survival. Therefore, the research on the interconnection of entrepreneurship, technology, and innovation (ETI) is growing and requires consolidation. This study presents a state-of-the-art review on ETI and presents a research agenda. Based on the topic modeling and semantic network analysis, this study classifies entrepreneurship, technology, and innovation articles into eight different topics and identifies the relationships among them. The study identifies 1407 articles collected through Scopus database. Eight salient research themes emerge: types of innovation (Topic 1), small venture performance (Topic 2), role of gender in digital entrepreneurship (Topic 3), entrepreneurial ecosystem (Topic 4), technological ventures (Topic 5), venture sustainability and growth (Topic 6), technology transfer (Topic 7), and government policies (Topic 8). The theoretical implications highlighting future research avenues are discussed in this study. Additionally, utilizing the semantic network, this study proposes a sequential mediation model. It provides a graphic representation of the interconnectivity between keywords from the identified topics, revealing deeper insights that may not be immediately apparent through traditional review methods. Further, this paper presents a range of insights for researchers and practitioners.

Resource interdependence and successful exit: A configurational perspective on young technology firms

AbstractResearch SummarySuccessful exits are important outcomes for young technology firms. Research has investigated how individual resources affect exit, but both foundational RBV scholarship and newer microfoundations work suggest the need to examine resource configurations in specific contexts. Using an abductive approach and fsQCA methodology, we explore how resource configurations affect exit in the U.S. minimally invasive medical device industry. We find no single resource is necessary or sufficient for exit. Instead, we find four unique equifinal configurations of resources that are sufficient to support exit in certain contexts. Further, these configurations are largely replicated when we distinguish specific exit modes (IPO vs. acquisition). This study advances growing conversations on the role of resource configurations in entrepreneurship with an emphasis on interdependence, complexity, and equifinality of exit.Managerial SummaryNew firms' early resource portfolios are powerful determinants of their future success. No theory exists, however, to predict if or how the combinations of these resources affect young technology ventures' abilities to achieve a successful exit—an outcome important to founders and early investors. In this study, we utilize fsQCA to explore this issue on a sample of startups in a segment of the U.S. medical device industry. We focus on configurations of technological, commercial, social, human, and financial capital as well as the external environment. Our results point to four unique paths that support successful exit. Each configuration includes multiple ingredients for success. This suggests that realizing successful exit is more complex than previously thought as several unique resource configurations support successful exit.

Assessing the quest of SMEs in pivoting for new technological ventures: comparing the patenting indexes of seven developed cities

Assessing the quest of SMEs in pivoting for new technological ventures: comparing the patenting indexes of seven developed cities

Research on the Development and Construction of Modern Science and Technology Park

Summarize the theoretical research results and the most advanced planning and development concepts of science and technology parks by combing the historical context of the construction and development of science and technology parks in the world. Study the typical cases of science and technology parks at home and abroad, study and sort out the development path and construction and operation ideas of new science and technology parks in small and medium-sized cities in China in recent years, absorb the experience of the establishment and operation of excellent science and technology parks at home and abroad, and explore the planning and design theory, development and operation ideas of science and technology parks in the context of "mass entrepreneurship and innovation", as well as the exploration of the park profit model based on the overall planning and development status of Qinchuangyuan, Shaanxi Province. To provide theoretical support and future development ideas for the subsequent planning and operation of Qinchuangyuan Western (Xianyang) Science and Technology Venture Bay, and improve its later construction plan and operation plan.

Growth of Venture Firms under State Capitalism with Chinese Characteristics: Qualitative Comparative Analysis of Fuzzy Set

This study builds upon the venture growth literature and venture legitimation mechanisms and investigates how venture firms in China can acquire legitimacy and necessary resources from state stakeholders for venture growth during the COVID-19 pandemic. To offer a context-specific perspective of Chinese ventures’ legitimation strategies, we discuss that under Chinese state capitalism, these ventures need to follow lingering socialist values, such as equality and social stability, to be recognized as appropriate business operations by state audiences. Furthermore, we discuss that access to necessary resources for venture growth is limited during crises. Based on the understanding of particular contexts of Chinese state capitalism and the COVID-19 pandemic, we examine how various sets of a venture’s identity, associative, and organizational mechanisms influence venture growth during crises in China. In addition, we consider serial entrepreneurship as a contextual factor affecting the effectiveness of causal effects. This study applies the fuzzy-set qualitative comparative analysis method to take a configurational approach and identify multiple concurrent causality of legitimacy mechanisms on venture growth. We conduct a survey and analyze data from 107 entrepreneurs of Chinese technology ventures during the COVID-19 pandemic. Findings show that Chinese ventures with or without repeat entrepreneurs can actively utilize various sets of legitimation mechanisms to acquire legitimacy and necessary resources from Chinese state audiences for venture growth during adversity. This study provides comprehensive understanding and practical implications on Chinese ventures’ legitimation strategies for venture growth during crises.

A cloud's silver lining? The impact of policy interventions on new and maturing technology ventures' online recruitment

AbstractResearch summaryWe synthesize the external enablement (EE) framework with insights from labor economics and strategic human capital to theorize how restrictive policy interventions shape technology ventures' employee recruitment, attending to both sides of the hiring dyad. We engage in a quantitative study of over 220,000 recruiting interactions between technology ventures and candidates on a prominent digital networking platform surrounding the early COVID‐19 pandemic policy responses. We find that firms' recruitment declined significantly while candidates' responsiveness increased during the early COVID‐19 policy interventions. In turn, young technology ventures were enabled to hire more during the interventions, whereas maturing ventures were enabled to hire differently—acquiring candidates with greater entrepreneurial orientation. Our work extends the EE framework to human resource strategies and to heterogeneous enablement across firm age.Managerial summaryHiring is a critical task for young and maturing venture firms, and environmental disruptions can impinge heavily on recruiting processes. We study how restrictive policy interventions shape technology ventures' employee recruitment. Examining over 220,000 recruiting interactions on a major digital platform before and during the early COVID‐19 policy responses, we find that restrictive policy interventions alter the technology venture labor market, deterring some firms from recruiting while making others more successful in their continued hiring efforts. Furthermore, we discover that maturing firms are more adaptive than young firms in their selection of candidates during policy interventions—seeking employees with more entrepreneurial characteristics.

Entrepreneurial strategic posture and new technology ventures in an emerging economy

PurposeAlthough start-ups have gained increasing scholarly attention, we lack sufficient understanding of their entrepreneurial strategic posture (ESP) in emerging economies. The purpose of this study is to examine the processes of ESP of new technology venture start-ups (NTVs) in an emerging market context.Design/methodology/approachIn line with grounded theory guidelines and the inductive research traditions, the authors adopted a qualitative approach involving 42 in-depth semi-structured interviews with Ghanaian NTV entrepreneurs to gain a comprehensive analysis at the micro-level on the entrepreneurs' strategic posturing. A systematic procedure for data analysis was adopted.FindingsFrom the authors' analysis of Ghanaian NTVs, the authors derived a three-stage model to elucidate the nature and process of ESP Phase 1 spotting and exploiting market opportunities, Phase II identifying initial advantages and Phase III ascertaining and responding to change.Originality/valueThe study contributes to advancing research on ESP by explicating the process through which informal ties and networks are utilised by NTVs and NTVs' founders to overcome extreme resource constraints and information vacuums in contexts of institutional voids. The authors depart from past studies in demonstrating how such ties can be harnessed in spotting and exploiting market opportunities by NTVs. On this basis, the paper makes original contributions to ESP theory and practice.

Towards a Review of Key Success Factors in Technology Entrepreneurship

Research Question: Through a systematic review of the relevant literature, this paper identifies and analyses key success factors in technology entrepreneurship and provides a novel classification and systematization of the factors. Also, it provides a prioritization of the selected factors by tech entrepreneurs. Motivation: The conditions of uncertainty and the dynamic environment in which one technological venture operates cause that only a small number of them succeed (Baron, 2000; Changsok et al., 2012; Tomy & Pardede, 2018; Chen et al., 2019). Comprehensive systematization of success factors is lacking in the professional literature. This paper contributes to the literature in this field by systematizing and prioritizing the key success factors in technological entrepreneurship, as a usable basis for further research and decision making. Idea: The core idea of this paper was to provide an overview of existing knowledge and a systematized basis for further research, but also for work in the practice of technological entrepreneurship, giving guidance to all stakeholders and decision makers, entrepreneurs, investors and policymakers. Data: The review was conducted using online repositories of scientific publications on technology entrepreneurship success factors published in the period from 1980 to 2021. In total, 661 articles were identified, while 45 articles met the selection criteria and represent the basis for further research of this paper. In order to determine the prioritization of the identified factors, empirical research was conducted among decision makers of technological entrepreneurial ventures. Tools: The research and review of the literature were conducted by structured keyword search of the Web of Science database, while the process of article selection was performed using the identified selection algorithm, based on two phases, which both included the selection criteria. For the purposes of empirical research, the Google form questionnaire was used for collecting the data on the prioritization of the factors by technology entrepreneurs. Findings: The factors that are key to the success of technology ventures are often complex in nature. 151 originally identified success factors from different authors were classed into 31 groups. Based on the identified groups, five large groups of factors were used for classification: "characteristics of the founder/founding team", "environment", "technology and innovation", "organization" and "strategy". As a result of empirical research, the factor “motivation” emerges as the most influential factor on a venture’s success, while the “size of the founding team” is identified as the least influential. Contribution: This paper extends the existing literature providing the systematization of key technology entrepreneurship success factors with the systematization of scientific publications as a basis for further research.

Shaping Strategy Formation Processes of Emerging Ventures

This qualitative study explores how industry discourse shapes the strategy formation processes of new ventures. Based on a field study about the technology ventures in the insurance industry from 2017 to 2019, I unpack the insurance technology (InsurTech) discourse as a socially constructed condition and track the strategy formation processes of four ventures that are embedded in the discourse. I identify two primary streams of discourse, relational and arm’s length, and show how these streams shape the ventures’ strategy formation processes into two patterns: derivative and puzzle-piecing. The study thus highlights the role that socially constructed enablers play in shaping venturing processes and calls for attention to understanding ventures’ strategy work as an evolving process embedded in the discursive context.

The Effects of Cultural Diversity on Entrepreneurial Strategy: Emotional and Cognitive Perspectives

What drives differences in strategic choices in entrepreneurial ventures? The entrepreneurship literature has shown that technology ventures often rely on information they acquire from sources such as mentors and investors to make strategic decisions about new products or ideas. While the entrepreneurship research has found much theoretical and empirical support for the importance of collecting information for venture strategies, research is largely silent on how ventures process information for strategic choices. After gathering information, ventures vary in how they make sense of information, which can be carried out through coordination and cooperation among their members, in order to reach decisions on their strategies collectively. To shed light on this process, I examine whether the diversity of emotional and cognitive organizational culture in the formative years of a venture drives differences in information processing for its strategic choices of exploration and exploitation. I test these ideas by applying natural language processing tools to the employee review and news release data on young technology ventures. Results reveal that ventures with a higher level of diversity in emotional culture in the founding stage of the venture tend to choose more explorative strategies. In contrast, ventures with a higher level of diversity in cognitive culture are likely to pursue more ambidexterity by balancing exploration and exploitation. I discuss implications for this research on entrepreneurial strategy and organizational culture.

Business Model Development and Venture Progress in Nascent Technology Ventures

Why do some nascent entrepreneurs have more developed business models than others? And do more developed business models facilitate venture progress? In this study, we examine the effects of rational venture investigation and experience-based heuristics as dual drivers of business model development in nascent technology ventures. Using a unique longitudinal dataset of nascent technology ventures, we find that both venture investigation efforts and prior startup experience have a positive effect on business model development. More developed business models, in turn, facilitate a venture’s progress. The business model not only has a direct impact on venture progress, but also serves as a mediator that translates the founder’s venture investigation efforts and prior startup experience into venture progress. Our study provides unique empirical evidence that rational and heuristics-based approaches positively and independently impact business model development, which significantly contributes to nascent venture progress.

How to Foster Radical Innovation in FinTechs? The Roles of Leadership Experience and Regulations

Research agrees that exploratory activities (experimentation with new alternatives) lead to radical innovations. Nevertheless, we still lack knowledge of what leads new ventures to pursue exploratory activities. A peculiarity of these ventures is that not only the management but also investors build the leadership that influences strategic actions like exploratory activities. Surprisingly, there is no sufficient empirical evidence if the experience of managers and investors influences the relative exploration orientation. This is of special relevance for financial technology ventures (FinTechs) that are currently striving for radical innovations. Moreover, environmental factors affect the leadership‘s impact on the strategic orientation. Especially for FinTechs, regulatory freedom is a crucial environmental factor that is largely overlooked by empirical research. We use a panel dataset of 1,228 FinTechs from 2013-2019 in eight countries and find that management and investor experience have a positive relationship with the relative exploration orientation. Regulatory freedom positively moderates the relationship between management experience and the relative exploration orientation. We add to theory and research on technology and innovation by introducing new antecedents of relative exploration orientation, expanding upper echelons theory research to investors, and investigating the moderating role of regulatory freedom in new ventures’ entrepreneurial behavior.

How Do Corporate Venture Capitalists Evaluate Digital Technology Ventures? A Conjoint Analysis

Drawing upon affordance theory, this study analyzes how corporate venture capital (CVC) investment managers evaluate digital technology ventures for investment. We argue that affordances, namely action potentials that arise from the relation between CVC investors and digital technology ventures, determine investment decision-making. Our study uses experimental data from a conjoint analysis of 432 investment decisions made by 54 CVC investment managers representing 44 CVC units from 34 industries. We find that CVC investment managers value characteristics of digital technology ventures that give rise to digital affordances as well as task-sharing affordances. Our findings show that CVC investment managers’ prior digital technology experience, entrepreneurial experience, and perceived CVC unit dependence on business units influence the interpretation of affordances, and thus the evaluation of investment opportunities. Our study contributes to the understanding of CVC investment decisions and extends affordance theory by a decision-making perspective.

Framework Design of Science and Technology Venture Capital Salary Management System Driven by Blockchain Technology

The aim of this article is to study the framework design of science and technology venture capital salary management system driven by blockchain technology. Firstly, it expounds on the background and research significance of enterprise salary management. According to the current theory and research direction of salary management in domestic science and technology enterprises, combined with the mode of salary management in domestic enterprises, it analyzes the current situation and existing problems of enterprise salary management and the relevant algorithms driven by blockchain technology, among which the typical is consensus algorithm. Then, the salary management system is established, and the use cases of the system are analyzed according to the operation and business process of the system. Finally, according to the system requirements analysis, the overall network and software framework of the system are designed, the main business processes of the system are designed, and the database solution is put forward. The system test shows that the system finally completes the basic business of enterprise salary management, the operation interface is simple and convenient, the program runs stably, and can achieve the expected effect of demand analysis.

Boost, sustain, orbit – the multi-stage launch of new energy

What role do technology and innovation play in shaping our industry’s – and the world’s – path to net zero? They underpin, enable and connect each and every phase of it. In the short and medium-term, technology will help decarbonise traditional energy production. Initially, to fix unnecessary emissions from oil and gas operations – methane and flaring, for example. The technology and innovation landscape around methane and flaring detection, measurement and abatement is incredibly dynamic and maturing fast. It has to be. The industry knows this is a low-hanging fruit that can realise significant global emissions reductions fast. Only with the help of technology – connecting brand-new physical technology with digital systems - can we do this at pace and scale. The goal must be the complete elimination of unnecessary methane and flaring emissions within the current decade. Like a booster rocket, the tech to achieve this will make itself obsolete. In parallel, we’re using technology to shift the economic equation of oil and gas production and move towards ultra-low-carbon and carbon neutral energy. For example, with the use of AI and machine learning to enable autonomous operations will drive ever more energy and resource efficient production. Both these approaches buy us time in the energy transition. But they also serve to develop and build the technology foundations for new energy by working with a different approach of technology ventures in hydrogen, stationary storage, carbon capture and sequestration, geothermal ... transferring skills, capabilities and infrastructure to give the energy industry of the future a flying start, in a new orbit. To view the video, click on the link to the right.

567-P: A Weight Management Program Tailored for Adults with Type 2 Diabetes: Effects on Glycemic Control

Background: Clinical weight loss interventions improve glycemic control in adults with type 2 diabetes (T2D) , but are costly and have limited accessibility. The objective of this trial was to test the efficacy of a diabetes-tailored widely available weight management program (WW, formerly Weight Watchers) on glycemic control in adults with T2D. Methods: This was a prospective 24-week single arm, three-site clinical trial. Participants (n= 136) had T2D, a baseline HbA1c between 7-11%, and a BMI between 27-50 kg/m2. All participants received the 24-wk intervention, which consisted of the WW digital + workshop program tailored for people with T2D, and included weekly virtual workshops and use of the WW App. Assessments occurred at baseline, wk 12 (83.8% retention) , and wk 24 (83.1%) . Primary outcome was change in HbA1c at 24 weeks. Secondary endpoints were changes in body weight and the Diabetes Distress Scale (DDS) . Generalized linear effects models were used for statistical analysis (MAR) and used an intent-to-treat analysis. Results: Participants were 56.8 ± 0.8 y (Mean ± SEM) , 80.2% Female, 62.2% non-Hispanic white. Baseline BMI was 36.2±0.6 kg/m2. Baseline HbA1c, weight, and total DDS score were 7.9±0.1%, 104.3±1.8 kg, and 2.2±0.1, respectively. HbA1c decreased 0.6±0.1% at wk 12 and 0.8±0.1% at wk 24 (both p <.0001) . Body weight decreased 4.6±0.5% at wk 12 and 5.7±0.5% at wk 24 (both p <.0001) . Total DDS score decreased 0.2±0.1 at wk 12 and 0.3±0.1 at wk 24 (both p <.0001) . Conclusions: The widely available WW program, modified for those with T2D, had favorable and clinically meaningful effects on glycemic control, body weight, and diabetes distress at 12 and 24 weeks. Disclosure J.W.Apolzan: Research Support; Mizkan Holdings, LLC , WW International, Inc. T.Bullard: Employee; WW International, Inc. G.D.Foster: Employee; WW International, Inc. M.Cardel: Employee; WW International, Inc. J.G.Larose: Research Support; WW International, Inc. S.D.Anton: None. R.A.Beyl: None. F.L.Greenway: Advisory Panel; General Nutrition Corporation, Jenny Craig, NovMeta Pharma, Nutraceutical Corporation, Pfizer Inc., Plensat, UR Labs, Consultant; Basic Research, Dr. Reddy’s Laboratories Ltd., Energesis, Gedeon Richter, Jazz Pharmaceuticals, Rejuvenate Bio, Other Relationship; Academic Technology Ventures, Inc., Melior Discoveries, Stock/Shareholder; Energesis, Ketogenic Health Systems, NovMeta Pharma, Plensat, Rejuvenate Bio, Slim Health Nutrition, UR Labs. E.P.Wickham: Board Member; American Board on Obesity Medicine, Research Support; National Institutes of Health, WW International, Inc. A.Lanoye: Research Support; WW International, Inc. M.N.Harris: None. A.Kaufman: Employee; WW International. Funding WW International, Inc.