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A dynamic analysis of the role of entrepreneurial ecosystems in reducing innovation obstacles for startups

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  • Noelia, Franco-Leal
  • Rosalia, Diaz-Carrion

Abstract

Innovative startups face serious obstacles in their innovation processes because of the high costs of innovations, lack of commercial and managerial competencies, and difficulties in cooperating with industrial agents. Understanding the evolution of these obstacles, the dynamic nature of entrepreneurial ecosystems, and how such ecosystems can reduce obstacles to innovation becomes crucial for managers and policymakers. This research examines the evolution of different types of obstacles innovative startups face and analyzes the effects market and research resources have on the entrepreneurial ecosystem in reducing these obstacles over time. Linear mixed models are used to analyze the evolution of the influence of the entrepreneurial ecosystem on the innovation obstacles of 911 Spanish innovative startups. The results indicate that different obstacles display different patterns over time. We found that the role played by market and/or research sources on the entrepreneurial ecosystem in reducing different obstacles to innovation could be linked to the tendency of these obstacles to diminish over time. The results point to the need for a set of agents to reinforce each other by creating an ecosystem in which innovation obstacles faced by startups are reduced over time.

Suggested Citation

  • Noelia, Franco-Leal & Rosalia, Diaz-Carrion, 2020. "A dynamic analysis of the role of entrepreneurial ecosystems in reducing innovation obstacles for startups," Journal of Business Venturing Insights, Elsevier, vol. 14(C).
    • Handle: RePEc:eee:jobuve:v:14:y:2020:i:c:s2352673420300482
    DOI: 10.1016/j.jbvi.2020.e00192
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