Study reveals success strategies of startups

Mumbai: In an interesting study, Indian Institute of Management Lucknow researchers have decoded the success strategies of unicorn startups — companies that surpass a billion-dollar valuation. The findings reveal that startups led by founders adept in both exploration (innovation and opportunity discovery) and exploitation (efficiency and scaling up) reach unicorn status significantly faster.

The study highlights how the unique cognitive abilities of startup founders drive their firms to achieve such remarkable growth.

Led by Prof. Sabyasachi Sinha, along with research scholars Dr. Vivek Kumar Jha and Ravi Roshan, the study demonstrates the profound impact of ambidextrous orientation on the journey of startup teams. Published in the prestigious International Journal of Entrepreneurial Behaviour & Research, the study stands out as a pioneering effort in India, examining the success stories of 83 Indian unicorn startups through 220 interviews with their founders.

Using advanced statistical models like the Cox Hazard model and linear ordinary least squares regression, the study presents a compelling case: the stronger the collective ambidextrous orientation of the founding team, the swifter their journey to a billion-dollar valuation.