Study on leadership and innovation: clues for success in technology-related startups

Abstract

This article tests different theories, as proposed by the author (Abadia 2016) and by reputed researchers such as Porter (1985), Christensen (1997) and Tellis (2006), on why some technology-related startups are successful in fast-changing environments, while well-established firms are not. To this end, the author conducted (i) four different database statistical analyses – data aggregation, segmentation, time comparison, and linear regression/correlation – on the financial statements of a large sample population of technology-related startups, in two countries, the United States of America (USA) and Spain, and (ii) nine cases studies of particularly successful technology-related startups in four countries, the USA, Spain, China and Japan. The combination of the statistical and case studies concludes that (1) visionary leadership is a necessary condition for ‘disruptive success’, (2) disruptive or, at least, revolutionary innovation is a necessary condition for disruptive success, (3) location in specialized clusters is a critical factor in determining the rate and level of success of technology-related firms. On the other hand, the study concluded that entrepreneurs and executives should seek and exploit these three competitive elements in the stages of introduction and growth. However, in the case of the maturity stage, the emphasis should be directed towards other elements that are less elitist and volatile.