Small start units
The word Small Start Unit (also called small start-up, or SSU) emerged as a business term to address small entities that plan to launch innovative and specific business models in the market place, -Not only on a larger geographical scale, but also with a vantage in technology that they offer- this gives them a sustainable competitive advantage, which they can use against (major) market competitors right from the beginning. SSUs are mainly of Western origin.
The business model of a Small start unit is to attract venture capitalists. Such Venture Capitalists supply the SSU with needed capital for the start-up. With this capital SSUs are able to set up the headquarters in their home market, typically a well-developed market in a Western country. Despite the disadvantage of higher costs, their competitive advantage enables them to generate new jobs in the home market by employing high-end engineers, marketing professionals and well educated managers. [citation needed]
Characteristics
The characteristics of an SSU are:
- The core competency resides in a future technology.
- The aim is to operate on a global scale right from the beginning.
- There is a high growth orientation within the firm.
- A flexible network is related to them, consisting of internal and external stakeholders.
- Able to fragment mass markets into niches.
- Technology is built on open source technology.
- Products are brought to markets rapidly.[citation needed]
Goal
By pursuing a global approach SSUs not only exploit emerging and lucrative selling markets, but also lower their costs and boost profits faster by embedding their business partner in emerging markets (see George S. Yip) into their value chain. SSUs take advantage out of emerging markets as well as Western markets. So globalization allows SSUs to become long-lasting and successful(?) business entities.[citation needed]
External links
Content Disclaimer
Informasi ini disarikan dari Wikipedia dan disajikan kembali untuk tujuan edukasi. Konten tersedia di bawah lisensi CC BY-SA 3.0. Kami tidak bertanggung jawab atas ketidakakuratan data yang bersumber dari kontribusi publik tersebut.
- The information displayed on this website is sourced in part or in whole from Wikipedia and has been adapted for the purpose of restating it. We strive to provide accurate and relevant information, however:
- There is no guarantee of absolute accuracy. Wikipedia is an open, collaborative project that can be edited by anyone, so information is subject to change.
- It is not intended to constitute professional advice. The content displayed is for informational and educational purposes only. For important decisions (e.g., medical, legal, or financial), please consult a professional.
- Content copyright. Wikipedia is licensed under the Creative Commons Attribution-ShareAlike License (CC BY-SA). This means that content may be reused with appropriate attribution and shared under a similar license.
- Responsible use. Any risk arising from the use of information from this website is entirely the responsibility of the user.