Zong-Tae Bae

Entrepreneurship in Japan and Silicon Valley: a comparative study

Abstract Entrepreneurial activities of a region reflect its business climate and habitat for innovation. This is particularly evident in a comparison of firms in Japan and Silicon Valley as entrepreneurial activity in these areas especially faces a different culture and business environment. The objective of this study is to identify the differences along four dimensions affecting the entrepreneurial process and management of start-up companies: entrepreneurial motivation , risks and obstacles , perceived growth factors , and supporting infrastructure . A survey was conducted of 396 Japanese firms and 188 Silicon Valley firms. The survey results indicated major differences between the two regions. In the area of entrepreneurial motivation , Japanese entrepreneurs were more society-oriented (i.e., in search of social recognition) while Silicon Valley entrepreneurs were motivated by more individualistic factors such as personal achievement and accumulation of personal wealth. In the area of risks and obstacles , Japanese entrepreneurs were concerned more about personal and globalization risks and less about market and financial risks. In the area of perceived growth factors , Japanese entrepreneurs rated higher on strategic focus and R&D priority, whereas the Silicon Valley entrepreneurs put greater emphasis on growth-orientation, customer focus, opportunity recognition, and timely inflow of venture capital as critical factors of growth. Finally, with respect to infrastructure , Silicon Valley entrepreneurs appeared to be benefiting from superior professional services, university resources, and venture capital, while Japanese firms seemed to have better access to diverse financing resources including bank loans and government financing. The findings are expected to provide valuable insights for policy makers.

New venture strategies in a developing country: Identifying a typology and examining growth patterns through case studies

Abstract This study explores the static and dynamic patterns of new venture strategy and growth. We developed a three-dimensional integrative framework on new venture strategies, proposed seven strategic types, and examined the dynamic patterns of internationalization and growth of new ventures. From successful new venture cases in Korea, each strategic type shows differences in environmental characteristics and competitive behaviors. Also, we found that new ventures enter the global market by following two-step internationalization processes. We observed two different growth patterns influenced by initial conditions, entrepreneurs management ability, and technology strategy of new ventures.

R&D project selection: Behavior and practice in a newly industrializing country

An empirical study is presented on the practices of research and development management with special emphasis on the project selection behavior in Korea. Based on a review of literature pertaining to the R&D project selection, a survey framework was first generated. The data were collected from 73 laboratories of Korean private companies through a structured questionnaire, via a mail survey supplemented by some telephone interviews. As expected, the usage of formal models in R&D project selection are considerably limited in Korea. The findings, however, suggest that the formal models utilized by the research laboratories are varied distinctively according to research types. Exploratory and supportive R&D projects are selected by using screening models, while high-risk, new business development projects are selected by using evaluation models. For the selection of exploratory and supportive R&D projects, the major decision makers are laboratory directors, and the important decision criteria are technical factors. On the other hand, the major decision makers for the high-risk new business development projects come from the top management of firms, and they consider the market factors important as well as strategic factors. Several aspects of idea generation and collection for the R&D project selection are also presented.

Changing patterns of technological cooperation activities of innovative small firms along technological development stages in the Korean telecommunication sector

Abstract This study examines how patterns of technological cooperation activities vary along technological development stages. Based on the longitudinal sample of 63 small firms in the telecommunication equipment and device sector, proposed hypotheses were tested by using ANOVA, and multiple regression analysis. Major findings of this study are as follows. Along technological development stages, (1) patterns of technological cooperation activities differ in terms of motivation, the extent and diversity of use, and partners, and (2) the impact of each technological cooperation activity on the firms technological performance vary. In addition, some implications are presented and future research directions are suggested.

Technology development patterns of small and medium sized companies in the Korean machinery industry

Abstract This paper presents four different patterns of technology development for small and medium sized companies in the machinery industry in a newly industrializing country, Korea. These four patterns are validated through indepth case studies. The case studies suggest that technology development patterns evolve according to firm size and the level of technological capability. In addition, the importance of non-formal methods of technology acquisition, technology accumulation, and business/technology policy for efficient technology development is also shown in this study. For the generalization of the findings, more extensive study in various industries and international comparative studies are needed.

Strategic management of a large-scale technology development: The case of the Korean telecommunications industry

This paper deals with dynamic patterns of the longitudinal technology development and strategic changes in the Korean telecommunications equipment industry, focusing on a case of the large-scale technology development project that is known as the TDX project. The ultimate purpose of this paper is to find underlying principles in successfully managing large-scale projects or programs which involve collaborative efforts of public and private sectors in the context of developing countries. For this purpose, this paper takes a system-analytic approach to the innovation process and strategic changes. From the process perspective, it explains dynamics of the technology development process of a Korean telecommunications industry and its strategic changes along three development stages: initiation, early, and late internalization stages. From the strategy perspective, some underlying principles behind the successful technology development process are identified: the focused-and-phased, the buy-for-make, and the harmonized collaboration-and-competition approaches. Finally, implications for researchers and policy makers are discussed.

Evaluating MIS performance: Comparison of three hierarchical evaluation types

This paper proposes a new hierarchical approach toward MIS evaluation, which emphasizes the evaluation of the strategic aspects of MIS, as well as the evaluations of the activities of MIS functions and the quality of application systems. Based on the previous studies and the preliminary field survey, concepts and contents of three hierarchical evaluation types such as system‐oriented, function‐oriented and strategy‐oriented evaluations were presented, and four propositions were drawn. The surveys of 130 Korean firms, conducted in 1991 and 1997 successively, show that majority of firms use system‐oriented or function‐oriented evaluation type, although the usage rate of strategy‐oriented type is slightly higher in 1997 than in 1991 and most MIS managers consider the strategy‐oriented evaluation as the ideal one. It is also found that the firms of higher MIS maturity use the strategy‐oriented evaluation type, and the firms with strategy‐oriented evaluation type show a higher MIS performance. Results of this ...

Humane Entrepreneurship: How Focusing on People Can Drive a New Era of Wealth and Quality Job Creation in a Sustainable World: JOURNAL OF SMALL BUSINESS MANAGEMENT

During the next 15 years, 40 million jobs need to be created each year in order to keep pace with population growth and foster greater participation of small and medium‐sized enterprises (SMEs) in a globally integrated economy. Our paper proposes a new theory that integrates the sustainable use of natural resources, better use of produced capital, and further investment in human capital. Our new theory, Humane Entrepreneurship (HumEnt), encompasses three key research domains: Entrepreneurship, Leadership, and Human Resource Management. The HumEnt theory presents a new perspective on how to create 40 million quality jobs each year and helps address global challenges.

When are "sharks' beneficial? Corporate venture capital investment and startup innovation performance

ABSTRACT The effect of corporate venture capital (CVC) investment on startup innovation performance has been examined in the extant literature. However, when this effect is enhanced is the important but relatively understudied question in strategy and entrepreneurship research. We build on the idea of regarding CVC investment relationships as learning alliances and introduce two situational factors as boundary conditions on the performance effect of CVC investment. In order to handle the endogeneity of CVC investment, we employ propensity score matching and differences-in-differences techniques. Based on the sample of startups in the human biotechnology industry in the United States, we find that CVC funding is beneficial for startup innovativeness when CVC investment is established after initial independent venture capital funding. Moreover, a startup’s patent stock before CVC funding also influences on that effect.