Lucknow: Researchers at the Indian Institute of Management (IIM) Lucknow have unveiled critical strategies that propel startups to unicorn status, defined as companies with valuations exceeding one billion dollars. The study, led by Prof. Sabyasachi Sinha, along with research scholars Dr. Vivek Kumar Jha and Ravi Roshan, emphasizes the significant role of ambidextrous orientation in the rapid ascent of startup teams.
Published in the renowned *International Journal of Entrepreneurial Behaviour and Research*, the study reveals that startups led by founders proficient in both exploration (innovation and opportunity discovery) and exploitation (efficiency and scaling) achieve unicorn status more swiftly.
The research explores the success stories of 83 Indian unicorn startups, supported by insights from 220 interviews with their founders. Utilizing advanced statistical models such as the Cox Hazard model and linear ordinary least squares regression, the study compellingly argues that the stronger the ambidextrous orientation within the founding team, the faster they achieve a billion-dollar valuation.
Key findings of the study include insights into founder characteristics, resource constraints, and investor preferences. The personal attributes of founders, particularly their ability to balance competing priorities, play a crucial role in driving startup growth. Investors are drawn to resilient, opportunistic teams, with ambidextrous founding teams often exemplifying these qualities, influencing investment decisions and shaping strategic growth.
This research fills a critical gap by focusing on ambidexterity in startups, rather than established firms, highlighting the importance of this capability for startups aspiring to achieve unicorn status. The findings offer valuable strategies not only for academic discourse but also for investors and policymakers aiming to support high-growth ventures.
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