Start-ups and Start-up Ecosystems: Theories, Models and Case Studies in the Mediterranean Area

Authors

Domenico Nicolò, Law and Economics Dept. - DI.GI.EC., University Mediterranea of Reggio Calabria, Head of Research Lab. ReTMES - Research Team for Mediterranean Entrepreneurship and Startups at University Mediterranea of Reggio Calabria, and Head of the Degree in Economics at University Mediterranea of Reggio Calabria, Italy; Natale Ferrara, University of Messina, Master of Science in Business Consulting and Management Research Lab. ReTMES - Research Team for Mediterranean Entrepreneurship and Startups at University Mediterranea of Reggio Calabria, Italy; Bettina Bastian, American University of Beirut, Lebanon; Mohammed Reza Zali, University of Tehran, Iran; Maryam Mirzaei, University of Tehran, Iran; Irina-Eugenia Iamandi, Bucharest University of Economic Studies, Romania; Laura-Gabriela Constantin, Bucharest University of Economic Studies, Romania; Sebastian Mădălin Munteanu, Bucharest University of Economic Studies, Romania; Giovanni Battista Dagnino, University of Catania, Italy; Marcantonio Ruisi, University of Palermo, Italy; Jordi Mas, TecnoCampus Mataró, Barcelona, Spain; Carlo Vermiglio, Dep. DI.GI.EC., University Mediterranea of Reggio Calabria, Italy; Domenico Nicolò, Dep. DI.GI.EC., University Mediterranea of Reggio Calabria, Italy; Alberto Fio; Giuseppe Valenza, Phd Student, University Mediterranea of Reggio Calabria, Italy; Luca Anselmi, Department of Economics and Management, University of Pisa, Italy; Peter Vogel, Chair for Entrepreneurship, University of St. Gallen, Switzerland; Stefano Baruffaldi, Ecole Polytechnique Fédérale de Lausanne (EPFL), Switzerland; Bettina Bastian, American University of Beirut, Lebanon; Yasser Akkaoui, Publisher of Executive Magazine, and CEO of Capital Concept, Lebanon; Antonio Del Pozzo, University of Messina, Italy; Salvatore Loprevite, University Dante Alighieri of Reggio Calabria, Italy; Giuseppe Pizzonia, Department of Law and Economics University Mediterranea, Reggio Calabria, Italy; Domenico Antonio Multari, www.m-lawyers.com, Bologna, Italy

Synopsis

The Mediterranean Startup: Towards a ‘new’ paradigm 

Mediterranean ecosystems are populated mostly by small family businesses. As a consequence of the central role played by the family in the countries in this area of the world, members of a single family hold the property and deal with the management of companies. This, on the one hand, constitutes strength of these companies, which benefit from high internal cohesion that makes it very resistant to the difficulties; on the other hand, affects their potential for growth and technological innovation, since the human and financial resources of a family are often insufficient to successfully implement a development strategy.

Until now, small family businesses have faced internal competition and international in various ways: creating districts to make ‘critical mass’ and survive the competition exerted by larger companies; specializing in productions that cannot be easily imitated, because highly differentiated (‘Made in Italy’); operating in areas protected from foreign competition because they consist of small businesses operating in local markets, with low capital intensity and low added value.

The tremendous acceleration of technological development requires these small family businesses to overcome this financial gap, managerial, and know-how that does not allow to exploit their development potential. This need also arises (perhaps especially) for innovative businesses at start up and, in general, for newly established firms. This does not mean that the Mediterranean should imitate the Anglo Saxon model based on big corporations, private equity and efficient capital markets. Quite the contrary. Any attempt to imitate this model would be destined to a resounding failure because inconsistent with the widespread entrepreneurial culture in the Mediterranean countries.

The big corporations operating in the Anglo-Saxon world, are facing the fierce competition of startups that introduce innovations that generate discontinuities jeopardizing their business model. The need to standardize processes makes them unwieldy and unsuitable to promote innovation. An obstacle to innovation derives from the need to neutralize the risks typical of radical innovations in product and process. To cope with this problem, they are creating spin offs, through which experience innovations outside (thus neutralizing the risks), and acquiring innovative startups that have already achieved success in the market (and therefore are not very risky). 

In the Internet Era is emerging a new paradigm of entrepreneurial success that is leading to the crisis of the traditional paradigm based on efficiency, standardization and productivity. In the new scenario, the competitive advantage depends on the creativity and the ability to tune the business model with the changing market and technology. In this new scenario, the Mediterranean will play a fundamental role in the world economy because creativity is the hallmark of the peoples of this area of the world. In the Mediterranean there are valuable resources: the culture, the art, the architecture, the history, the high quality food, the environment, lifestyle, the great beauty.

Small businesses in the Mediterranean, therefore, must remain small and agile and, therefore, suitable to promote continued innovation by exploiting the resources that are the heritage of this area. But this is not enough. To overcome the financial and technological gap compared to larger firms in the Anglo-Saxon world, they must create strong partnerships and adopt tools to synchronize the processes that make them interconnected.

Through the partnership, the small family businesses can innovate processes and products and, in this way, the will create value for the customers.

The Mediterranean Model of New Venture Creation is very different from the Anglo-Saxon Startup Model, underlying the European development policies, which continue to be applied despite their resounding failure in the last 20 years. This Anglo-Saxon model has increased poverty and social inequality, destroyed ecosystems industrial nations of southern Europe. This is because this model is totally inconsistent both with the anthropological characteristics of the people who live where it grows olive trees and the characteristics of the institutions, markets and structure of the industries of the Mediterranean countries.

The Mediterranean Model is based on the development of clusters and cooperation networks of small family businesses (based on the hybrid model of the consortium-industrial district-interoperating firms clusters). It assumes that creativity, beauty, environmental sustainability, art and design, culture, tourism, high quality agro-food, the Lifestyle and fashion, are the fundamental sources of competitive advantage of nations. This should point businesses in the Mediterranean, also (but not only) to take advantage from the ‘reputation’ (brand) of this area of the world. In the new economy, based on the Internet and new technologies, the old paradigm of big corporations, standardization and efficiency is going to die. The variety, not the standardization, will be the source of wealth and the social progress of the nations.

In December of 2013 I founded the research lab ReTMES - Research Team for Mediterranean Entrepreneurship and Startups at the University Mediterranea of Reggio Calabria (Italy) , which have joined several academics from different Mediterranean countries that share these ideas and who are conducting research together to develop new theoretical models and operational tools can foster the development and competitiveness of small family businesses and startups in the Mediterranean. I strongly believe that the aggregation of the scholars will be able to encourage the creation of new innovative and competitive and thereby overcome poverty and inequality that is increasingly spreading in this area of the world

We don't assume the business plan as the ‘Book of Dreams’ through which select unlikely aspiring entrepreneurs, without any experience, doomed to failure. The business plan is rather a tool that defines the DNA and the RNA of the new firms. It is a tool useful to prevent genetic defects and inconsistencies of the nascent businesses and to manage their evolution in the search for financial sustainability and the environmental. 

Rather than provide loans unlikely to be entrepreneurs, incubators and accelerators should promote the match between established entrepreneurs who want to revitalize their businesses, innovators and start-uppers.

We consider the foreigners a resource.

 

Domenico Nicolò

Scientific Coordinator of the ReTMES – Research Team for Mediterranean Entrepreneurship and Startups – University of Reggio Calabria, Italy              

Chapters

  • Chapter 1. Corporate Reputation, Business Plan and Start-up Sustainability
    Domenico Nicolò, Natale Ferrara
  • Chapter 2. Institutional Framework Conditions and Entrepreneurial Attitudes and Motivations
    Bettina Bastian, Mohammed Reza Zali, Maryam Mirzaei
  • Chapter 3. A Managerial Perspective on Corporate Social Responsibility for Start-ups in Romania, Bulgaria and Croatia
    Irina-Eugenia Iamandi, Laura-Gabriela Constantin, Sebastian Mădălin Munteanu
  • Chapter 4. The Academic Incubator as a Fluid Mosaic: An Ecological Interpretive Framework
    Giovanni Battista Dagnino
  • Chapter 5. The Role of Business Plan Competitions in the Processes of Defining and Launching a New Venture. Cases of Companies Involved in the ‘StartCup’ Palermo and Developed Inside the ARCA Academic Incubator
    Marcantonio Ruisi
  • Chapter 6. TecnoCampus Mataró, Full Start-up Ecosystem Development
    Jordi Mas
  • Chapter 7. Smart City Initiatives, Public Real Estate Strategic Management and New Venture Creation
    Domenico Nicolò, Carlo Vermiglio, Alberto Fio, Giuseppe Valenza
  • Chapter 8. Requirement for Assessment of the Technology on Healthcare. An Opportunity for Start-ups and Spin-offs
    Luca Anselmi
  • Chapter 9. Insights into the Swiss Entrepreneurship Ecosystem and Implications for the Mediterranean Region
    Peter Vogel, Stefano Baruffaldi
  • Chapter 10. The Entrepreneurial Ecosystem in Lebanon. Challenges and Opportunities
    Bettina Bastian, Yasser Akkaoui
  • Chapter 11. Equity-based Crowd Funding in the Italian Experience
    Antonio Del Pozzo, Salvatore Loprevite
  • Chapter 12. Investments in Innovative Start-ups: The Current Italian Legal Framework
    Giuseppe Pizzonia, Domenico Antonio Multari

Author Biographies

Domenico Nicolò, Law and Economics Dept. - DI.GI.EC., University Mediterranea of Reggio Calabria, Head of Research Lab. ReTMES - Research Team for Mediterranean Entrepreneurship and Startups at University Mediterranea of Reggio Calabria, and Head of the Degree in Economics at University Mediterranea of Reggio Calabria, Italy

Domenico Nicolò is Professor of Economia Aziendale (Business Economics) and Head of Degree in Economics at University Mediterranea of Reggio Calabria. Director and Scientific Coordinator of ReTMES – Research Lab for Mediterranean Entrepreneurship and Startups – at University Mediterranea of Reggio Calabria, Italy.

Natale Ferrara, University of Messina, Master of Science in Business Consulting and Management Research Lab. ReTMES - Research Team for Mediterranean Entrepreneurship and Startups at University Mediterranea of Reggio Calabria, Italy

Natale Ferrara is 2nd level Degree Student in Business Economics and Management at University of Messina, Italy.

Bettina Bastian, American University of Beirut, Lebanon

Bettina Lynda Bastian is Assistant Professor of Management at the American University of Beirut (AUB). She obtained her PhD in Management from the College of Management at the Ecole Polytechnique Fédérale de Lausanne (EPFL), Switzerland. Prior to this, she received a

Master degree in Political Science from the Free University of Berlin. Before going back for her PhD, she obtained a postgraduate Master in Energy from the EPFL and the Institut Français du Pétrole (IFP), Paris. Dr. Bastian’s primary area of interest is in Technological Change and how environmental challenges, such as biophysical constraints, as well as, political and social risk influence innovation strategies of firms. She is also studying Entrepreneurship under uncertainty conditions, notably, political and institutional instabilities. Dr. Bastian teaches in the areas of Corporate Strategy, Management, and she is currently responsible for the Business Ethics courses at AUB.

Irina-Eugenia Iamandi, Bucharest University of Economic Studies, Romania

Irina-Eugenia Iamandi is PhD Associate Professor in the Faculty of International Business and Economics, Bucharest University of Economic Studies (ASE), Romania. Her main research interests are in Corporate Social Responsibility, Business Ethics and International Management. She is author of three books in the field of corporate social responsibility in international business and author or co-author of more than 50 research papers on related topics published in international journals and/or presented in scientific conferences.

Laura-Gabriela Constantin, Bucharest University of Economic Studies, Romania

Laura-Gabriela Constantin holds a PhD in International Business and Economics and she is currently Assistant Professor in the Faculty of International Business and Economics, Bucharest University of Economic Studies (ASE), Romania. Within the CSR field, her research interest focuses on corporate governance from the perspective of social responsibility. Her main field of expertise is financial risk management.

Sebastian Mădălin Munteanu, Bucharest University of Economic Studies, Romania

Sebastian Mădălin Munteanu is PhD Assistant in the Faculty of Management, Bucharest University of Economic Studies (ASE), Romania. He has research interests in Sport Management and Economics, Investment and Quality Management, Economic and Social Efficiency. He is author and co-author of scientific papers, including one book and more than 20 articles.

Giovanni Battista Dagnino, University of Catania, Italy

Giovanni Battista Dagnino is Professor in the Department of Economics and Business of the University of Catania, Italy, where he is Coordinator of the PhD Program in Economics and Management and Academic Director of GRIM-Group of Research on Insurance and Banking Economics and Management. He is also faculty member of the European Institute for Advanced Studies in Management and Fellow of the Strategic Planning Society.

His current research interests revolve around the development of the strategic theory of the firm with specific focus on coopetition strategy dynamics, the role of anchor firms and networks in regional innovation and development especially as concerns high tech and rapidly changing environments, and the relationships between strategy, governance and entrepreneurship. He has authored/edited ten books and several articles in leading management journals.

Marcantonio Ruisi, University of Palermo, Italy

Marcantonio Ruisi is Full Professor of Business Strategy and Entrepreneurship; he is Coordinator B.A. and M.A. Degree Courses in Business Administration at the Department of Economics, Management and Statistics - University of Palermo; he is president of EBEN Italy; he is general secretariat SISTUR (Società Italiana di Scienze del Turismo); he is Editor of a book series: Quaderni di Ricerca Economico-Aziendale: Teoria e Casi (Aracne Editrice, Rome).

Jordi Mas, TecnoCampus Mataró, Barcelona, Spain

Jordi Mas teaches Innovation and Entrepreneurship at TecnoCampus Mataró (Barcelona, Spain) and is a member of the Competitiveness and Innovation Research Group. He has adapted lean start-up and design thinking methodologies to the audiovisual business sector. He is also a management consultant for private and public organizations in the fields of creativity and innovation.

Carlo Vermiglio, Dep. DI.GI.EC., University Mediterranea of Reggio Calabria, Italy

Carlo Vermiglio is a Researcher of Economia Aziendale (Business Economics) at Mediterranea University of Reggio Calabria, Italy

Domenico Nicolò, Dep. DI.GI.EC., University Mediterranea of Reggio Calabria, Italy

Domenico Nicolò is Prof. of Economia Aziendale (Business Economics) at Mediterranea University of Reggio Calabria. Director and Scientific Coordinator of ReTMES – Research Lab for Mediterranean Entrepreneurship and Startups – Italy

Alberto Fio

Alberto Fio is 2nd level Degree Student in Business Economics and Management at University of Messina

Giuseppe Valenza, Phd Student, University Mediterranea of Reggio Calabria, Italy

Giuseppe Valenza Phd Student in Law and Economic Studies at Mediterranea University of Reggio Calabria, Italy

Luca Anselmi, Department of Economics and Management, University of Pisa, Italy

Luca Anselmi is Full Professor of Business Economics (Economia Aziendale) at University of Pisa (Italy) and NSPA – National School of Public Administration (SNA – Scuola Nazionale dell’Amministrazione). Author of many books and papers on Local Governments, Public Administration, and Healthcare Management.

Peter Vogel, Chair for Entrepreneurship, University of St. Gallen, Switzerland

Peter Vogel is Assistant Professor of Technology Entrepreneurship and Head of Competence Center New Ventures, University of St. Gallen. His main focuses are in the fields of Entrepreneurship, Innovation, Entrepreneurship Ecosystems, Technology Management, Medical Technology, Arbeitsmarkt, Social Entrepreneurship.

Stefano Baruffaldi, Ecole Polytechnique Fédérale de Lausanne (EPFL), Switzerland

Stefano Baruffaldi is a Young Economist at the Science Technology and Innovation (STI) division of the Organization for Economic Cooperation and Development (OECD). Stefano has received a PhD in Management of Technology from the Ecole Polytechnique Fédérale de Lausanne (EPFL) under the supervision of Professor Dominique Foray and a Master’s degree In Management Engineering from Politecnico di Milano. His research interests are in the area of geography of innovation with particular focus on the diffusion of technological knowledge, the effects of inter-regional integration on innovative productivity, and the international mobility of highly skilled workers.

Bettina Bastian, American University of Beirut, Lebanon

Bettina Lynda Bastian is Assistant Professor of Management at the American University of Beirut (AUB). She obtained her PhD in Management from the College of Management at the Ecole Polytechnique Fédérale de Lausanne (EPFL), Switzerland. Prior to this, she received a

Master degree in Political Science from the Free University of Berlin. Before going back for her PhD, she obtained a postgraduate Master in Energy from the EPFL and the Institut Français du Pétrole (IFP), Paris. Dr. Bastian’s primary area of interest is in Technological Change and how environmental challenges, such as biophysical constraints, as well as, political and social risk influence innovation strategies of firms. She is also studying Entrepreneurship under uncertainty conditions, notably, political and institutional instabilities. Dr. Bastian teaches in the areas of Corporate Strategy, Management, and she is currently responsible for the Business Ethics courses at AUB.

Yasser Akkaoui, Publisher of Executive Magazine, and CEO of Capital Concept, Lebanon

Yasser Akkaoui is the publisher of Executive Magazine, and CEO of Capital Concept, a company he founded in 2005, which advises organizations and regulators in the Middle East on Corporate Governance and Management topics.

Antonio Del Pozzo, University of Messina, Italy

Antonio Del Pozzo is Full Professor of Economia Aziendale (Business Economics) at University of Messina, where he teaches ‘Financial Risk Management’ and ‘Financial Accounting’.

His research interest focuses on Financial Risk Management, Financial Innovation and International Financial Standards. He is author and/or co-author of seven books and several articles published in national and international journals and/or presented in scientific conferences. He is a business consultant.

Salvatore Loprevite, University Dante Alighieri of Reggio Calabria, Italy

Salvatore Loprevite is Associate Professor of Economia Aziendale (Business Economics) at University ‘Dante Alighieri’ of Reggio Calabria, where he teaches ‘Business Economics’ and ‘Management and accounting of public and non-profit organizations’.

His research interest focuses on International Financial Standards, Financial Innovation and Corporate Social Responsibility. He is author and/or co-author of three books and more than 20 articles published in national and international journals and/or presented in scientific conferences. He is a business consultant.

Cover for Start-ups and Start-up Ecosystems: Theories, Models and Case Studies in the Mediterranean Area

Details about this monograph

Date of first publication (11)
2015
Hijri Calendar
Physical Dimensions
17cmx24cm