THEORETICAL MODELS OF START-UP DEVELOPMENT

Abstract

The rise of startups as a fundamental component of the contemporary economic landscape has sparked a sustained interest among scholars and practitioners worldwide. Over the past few decades, numerous theoretical frameworks have been developed to elucidate the essence and mechanisms of entrepreneurial activity. These frameworks encompass a broad spectrum of topics, from the cognitive processes of an entrepreneur to the transformation of business models, and their efficacy varies depending on the institutional and cultural backdrop.

Of particular significance is the examination of the applicability of these frameworks to the Chinese startup ecosystem, which is distinguished by its high level of digitalization, governmental influence, and unique socio-economic conditions.

The significance of this research lies in the necessity for a comprehensive understanding of how Western theoretical frameworks can be adapted to the unique circumstances of China. Despite the achievements of Chinese startups in various sectors, such as fintech and e-commerce, many of them encounter institutional obstacles, fierce competition, and fluctuating regulatory frameworks. This necessitates a more precise comprehension of which frameworks truly function in this context and which factors contribute to the success of startups in China.

The objective of this study is to conduct a comparative analysis of key theoretical frameworks for startup development and evaluate their relevance and applicability in the Chinese business environment.