The impact of digital platforms on new startup performance: Strategy as moderator
Recent studies have acknowledged the contribution of digital platforms to entrepreneurial activity. However, little has been discovered regarding the way digital platforms impact new start-ups' performance and how strategy affects this relationship. This study investigated this phenomenon using...
Main Authors: | , |
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Format: | Article |
Language: | English |
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Elsevier
2023-12-01
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Series: | Heliyon |
Subjects: | |
Online Access: | http://www.sciencedirect.com/science/article/pii/S2405844023093672 |
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author | Magaji Abdullahi Usman Xinbo Sun |
author_facet | Magaji Abdullahi Usman Xinbo Sun |
author_sort | Magaji Abdullahi Usman |
collection | DOAJ |
description | Recent studies have acknowledged the contribution of digital platforms to entrepreneurial activity. However, little has been discovered regarding the way digital platforms impact new start-ups' performance and how strategy affects this relationship. This study investigated this phenomenon using a structural equation model based on entrepreneurial bricolage and environmental strategy performance theory. The current findings indicate that broader market outreach, cost-effectiveness, and network effect produce a favorable, direct, and substantial effect on new startup performance. Furthermore, strategy moderates the effects of broader market outreach, network effect, and cost-effectiveness on new startup performance. Furthermore, strategy moderates the impact of broader market outreach, network effect, and cost-effectiveness on new startup performance. The Chinese government in particular, and governments of various emerging nations generally, must pay close attention to the results of this research to design policies that will not only lengthen the lifespan of small businesses but also promote rapid expansion as well as innovation of digital start-ups. |
first_indexed | 2024-03-08T21:29:08Z |
format | Article |
id | doaj.art-5403bb39f5dd4eeeabca8b77c3762656 |
institution | Directory Open Access Journal |
issn | 2405-8440 |
language | English |
last_indexed | 2024-03-08T21:29:08Z |
publishDate | 2023-12-01 |
publisher | Elsevier |
record_format | Article |
series | Heliyon |
spelling | doaj.art-5403bb39f5dd4eeeabca8b77c37626562023-12-21T07:33:15ZengElsevierHeliyon2405-84402023-12-01912e22159The impact of digital platforms on new startup performance: Strategy as moderatorMagaji Abdullahi Usman0Xinbo Sun1Department of Business Administration, Northeastern University, 110169, ChinaCorresponding author.; Department of Business Administration, Northeastern University, 110169, ChinaRecent studies have acknowledged the contribution of digital platforms to entrepreneurial activity. However, little has been discovered regarding the way digital platforms impact new start-ups' performance and how strategy affects this relationship. This study investigated this phenomenon using a structural equation model based on entrepreneurial bricolage and environmental strategy performance theory. The current findings indicate that broader market outreach, cost-effectiveness, and network effect produce a favorable, direct, and substantial effect on new startup performance. Furthermore, strategy moderates the effects of broader market outreach, network effect, and cost-effectiveness on new startup performance. Furthermore, strategy moderates the impact of broader market outreach, network effect, and cost-effectiveness on new startup performance. The Chinese government in particular, and governments of various emerging nations generally, must pay close attention to the results of this research to design policies that will not only lengthen the lifespan of small businesses but also promote rapid expansion as well as innovation of digital start-ups.http://www.sciencedirect.com/science/article/pii/S2405844023093672Digital platformsDigital startupsStrategyNew startup performance |
spellingShingle | Magaji Abdullahi Usman Xinbo Sun The impact of digital platforms on new startup performance: Strategy as moderator Heliyon Digital platforms Digital startups Strategy New startup performance |
title | The impact of digital platforms on new startup performance: Strategy as moderator |
title_full | The impact of digital platforms on new startup performance: Strategy as moderator |
title_fullStr | The impact of digital platforms on new startup performance: Strategy as moderator |
title_full_unstemmed | The impact of digital platforms on new startup performance: Strategy as moderator |
title_short | The impact of digital platforms on new startup performance: Strategy as moderator |
title_sort | impact of digital platforms on new startup performance strategy as moderator |
topic | Digital platforms Digital startups Strategy New startup performance |
url | http://www.sciencedirect.com/science/article/pii/S2405844023093672 |
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