Designing a model for the success of Iranian startups in the field of information technology

Document Type : Research Paper

Authors

1 Department of Industrial Management, North Tehran Branch, Islamic Azad University, Tehran, Iran

2 Department of Industrial Management, Science and Research Branch, Islamic Azad University, Tehran, Iran

10.22075/ijnaa.2024.34601.5175

Abstract

This paper aims to develop a strategic model for the success of Iranian startups in the field of information technology. This research is qualitative in terms of research methodology, inductive in terms of research approach, pragmatic in terms of the governing paradigm, grounded theory in terms of research strategy, and semi-structured interviews in terms of data collection source. With the help of purposive sampling, 15 individuals were selected as the statistical sample, which was determined based on the saturation rule. In the quantitative section, the statistical population consisted of managers of IT-based service startups in the year 2023, totalling 120 startups. The sample was selected through census sampling due to the limited number of the statistical population, and the final integrated model was obtained using the Interpretive Structural Modeling method. Subsequently, to examine the effect of the identified components in the obtained model, foundational research was conducted in the fall of 2023, collecting descriptive-correlational data for successful and failed startups, in a cross-sectional manner. Given the breadth of the population, to reduce costs and save time, 80 samples were selected from this population based on Cochran's formula and with the help of the logistic regression method. Ultimately, a composite model of the research was obtained. The results of the data analysis showed that the three main dimensions as the primary aspects of failure of startups in Iran are: external environmental factors of the business, internal environmental factors of the business, and factors related to the founders, management team, and human resources. Legal and international limitations, macro governmental policies, and structural and infrastructural factors are among the most important factors of failure for startups in Iran. Additionally, government support leads to financial capability and improved liquidity in startups. Suitable upstream policies and planning that facilitate the business environment can help the success of startups.

Keywords

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Articles in Press, Corrected Proof
Available Online from 22 November 2024
  • Receive Date: 29 June 2024
  • Accept Date: 14 September 2024