It seems like today the word ‘innovation’ is used for almost everything. Although it may seem excessive, the fact is that everything around us is marked by exponential growth and continuous development. Companies must make an effort to keep up with innovations in all spheres – technology, approach to employees, attitude towards the environment, but also in business in general.
Concept of StartUp
Something that has evolved over the last decade and still confuses directors and managers is the concept of StartUp companies and the business incubators in which they thrive. It is important to know that not every StartUp is a StartUp. In principle, StartUp is characterized by the desire to develop while preserving the core values of the company. They mostly deal with innovations and look for creative solutions to some old and new problems. An incubator is a place where a lot of StartUps get professional help through education, mentoring and financial support, provided that StartUp achieves certain results within a certain time frame. The importance of the StartUp concept was also recognized by the administration of former US President Obama, which announced the StartUp initiative, encouraging young entrepreneurs to develop their ideas. As the last twenty years have shown, StartUps and SMEs are key to developing the competitiveness of the entire market. Without them, even large corporations cannot survive. SMEs and StartUps encourage employment and skills development, generate profits and bring innovations that are sometimes unfeasible in a crowded and complex corporate environment. If you want to learn and know more about startUps, click here.
Innovation distinguishes between a leader and a follower.
Importance of StartUps for the future business
Companies have two options when it comes to such innovations in business. First, they can choose to invest a certain amount of funds in StartUps, which potentially provides them with revenue in the event that the StartUp develops, and there are great chances for that nowadays. Second, companies can set up a department or sister company on their own that will deal exclusively with investing in StartUps. Examples of such business are the Swiss Index Venture or the French Bpifrance, which is even a state institution, and this speaks volumes about the importance of StartUps for the future of business. In addition, companies encourage the development of small (and young) entrepreneurs through this investment, which contributes to their reputation as a socially responsible employer.