Study On Success Factors Of Start-up Business In High-tech Industry

Entrepreneurs have played an significant role on the growth of Chinese economy in recent years. This thesis studies the success factors of start-up business in high-tech industry from entrepreneurs and venture capitalists' point of views. This research is based on interviews with entrepreneurs and venture capitalists to collect data,and finds out:With respect to personality,teamwork,and backgrounds,the interviewed entrepreneurs and venture capitalists think education does not make a difference on starting a business. The appropriate age to start as an entrepreneur is between 35 to 40 years old. On top of that,a person's personality,specialties,work experience and the attitude toward risks do affect the success of a start-up business.With respect to external environment,the entrepreneurs and venture capitalists point out that timing in terms of economic cycle affects the success of a start-up business but not the government policies and taxation. Furthermore,human relations,business location,and competition all have significant effect in the success of starting a business.With respect to business development,both entrepreneurs and venture capitalists view capital to have significant impact on success. For stockholders,both of them are reluctant to have stockholders who will negatively affect the company's policies. In addition,entrepreneurs and venture capitalists have different opinions on the importance of accounting system,the former value accounting system less than the latter. On the other hand,entrepreneurs and venture capitalists indicate financial management is critical for the success of a business. They emphasize on the corporate structure,management and plan of running a start-up business. In addition,both of them hold the ideas that the quality of products and service are much more important than external consultants. Entrepreneurs and venture capitalists point out that market positioning and timely action are especially important in high-tech industry. The teamwork spirit is critical for a successful business,as well as the flexibility of management.