Open innovation propagates to embrace external cooperation, rather than full in-house product innovation in a complex world. Almost two decades after, Henry Chesbrough’s concept is still influential because of intensifying complexity and digitization of every corner of our life.

A recent driver of open innovation for corporations is startup engagement. Although corporations have resource advantages, startups have the flexibility to navigate nimbly. This open innovation type is called outside-in where the external know-how is utilized internally in corporations. This option is viable if the risk and cost of developing internally are higher.

The idea sounds good but there are certain…

  • Full report here
  • Being ambidextrous, balancing exploring innovation capabilities, and exploiting the existing ones, is hard because there is a paradox between exploiting and exploring.
  • Core capabilities of a company simultaneously enhance and inhibit the development of new ones.
  • We suggest 4 components to improve innovation capabilities;
  • Cultivating a learning strategy.
  • Supporting a network organization.
  • Growing a collective iteration.
  • Nurturing adhocracy culture.

According to our study, corporations can become ambidextrous if they nourish each component above incoherence and consider this journey as a marathon

Corporate entrepreneurship emerged after the failure of a centralized R&D based innovation approach in generating a…

  • Full report here
  • Corporate venture capital has a high level of cyclicality due to the market and its corporate management cycles. Currently, the CVC industry is in its fourth cycle.
  • CVC investment growth still goes on despite the pandemic
  • CVC and VC incentives are very different; copying the way of working of VCs do not work
  • We suggest four steps in designing the CVCs; a- Manage the forces of CVC cycles b- Focus on strategic objectives with the balance of financial ones
    c-Align the structure to the objectives d- Build a mutually complementary relationship with startups

Cyclicality of CVC

The first corporate venture…

In my last post, I visited the challenges and opportunities of the developing startup ecosystems and emphasized “the broken investment value chain” as a major issue. In the post, I had analyzed CEE(Central Eastern Europe) countries and Turkey.

Although ecosystems like Poland and Turkey have substantial ICT potential in nurturing startups, I had pointed out the lack of corresponding venture capital investment. Now, I want to discuss on venture capital industry as a driver potential in developing ecosystems for innovation and economic growth. Then, I will elaborate on the Covid19 impact.

Venture capital has not invented risk capital, transformed it into a full-fledged industry in supporting innovation.

If a business needs an initial investment and carries…

The ecosystem term generally refers to a community of living organisms in nature. It is used very frequently in the technology world today. It refers community of network of people; entrepreneurs, investors, mentors, technology enthusiasts, researchers, and others. If you are interested to learn about startup ecosystems, I strongly recommend the book by Brad Feld. It delivers many aspects with a significant depth. In this post, I will look through the ecosystems in developing countries. But first, let’s look at some basics;

In academic studies, business communities were among the most important inquiries of our time. Why do some places…

Bugün dijital devrim diye adlandırdığımız, kişisel bilgisayarlar, internet platformları, akıllı telefonlar ve mobil uygulamalar gibi yeni teknolojilerin büyük bir kısmı daha önce var olmayan girişimler sayesinde hayatımıza girdi. Bu girişimler için önce girişimci ve sonra bir teknoloji gerekiyordu. Kişisel bilgisayarlar için bu hikaye Apple’ın kurucusu Steve Wozniak, piyasada satılan bilgisayarların yüzlece bin dolardan başladığı 1970'lerin sonunda kendisine bir bilgisayar yapmak istediğinde, aslında hem donanım hem de yazılım açısından uygun teknolojileri keşfetmesiyle başladı. Çok daha ucuz ve hızlı çalışan bir bilgisayar yaptığında, Steve Jobs ile birlikte büyümek için sermayeye ihtiyaçları olduğunu farkettiler. Bunun için doğru yerde olduklarını söylemeye gerek yok. O…

Deniz Kayahan

Founder at Startup Intellect Advisor for venture capitalists, corporate innovators, mentor for startups.

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