Digital Technologies for Modeling Bisuness for the Start-Up

Author:

Elina O. A.1ORCID

Affiliation:

1. Plekhanov Russian University of Economics

Abstract

The article provides a criterial assessment of the notion ‘start-up’ in the context of its use in business environment and academic literature and, at the same time, the author’s definition of the term. By analyzing the potential of Russian business in view of possibilities for start-up development the author shows key problems of businesspeople-beginners. The goal of the research is to demonstrate how digital technologies promote business start and what opportunities can be used to bring into life its major characteristic, i.e. impetuous growth within a short period of time. The author analyzes existing on the market information technologies for start-ups, systematizes principle requirements to them and shows accessibility of free BMP-systems in initial variants for small and medium entrepreneurship (SME). Findings of the research prove that start-up emergence in SME environment is, on the one hand, a challenge to the given sector and, on the other hand, could create a spot of global growth for national economy. Digital transformation today takes place in location, where existing digital structures are digitalized or new ones are designed. The most important of them are digital, automated structures of sale and marketing; new types of customer loyalty, support and service; new products, services and business-models. The author identifies 4 problems for conventionally positioned companies with the analogue business-model: digital transformation provides tools, environment and opportunities for improving the existing business-processes and implementing new business ideas, which require operative introduction; business-models of start-ups make competition in SME environment more severe; traditional policy of ‘zero mistake’ would not allow small and medium enterprises to introduce innovation and retain highly-qualified personnel. Solution of these problems can give an opportunity to move a traditional MSE company to the category of start-up.

Publisher

Plekhanov Russian University of Economics (PRUE)

Reference13 articles.

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