In What Fields are Start-Ups Established?April, 2021, ERDEMİR&ÖZMEN ATTORNEY PARTNERSHIP
In What Fields are Start-Ups Established?
When it comes to Start-ups, the general opinion on the part of the society is that they are ventures operating in the field of technology and software. When we look into the companies that started operating as Start-ups around the world, the data we find also support this opinion. Companies operating in the field of technology and software constitute the majority of the Start-ups. However, it would not be a correct approach if it is asserted that the Start-ups are only limited to these matters. In spite of the fact that the structure of the Start-ups is extremely convenient for use in technology, finance, and software sectors and that the formations are therefore intense in the mentioned fields, we now observe globally that successful and innovative Start-ups are established in many new fields. Many Start-ups, particularly established in the fields of architecture, design and marketing, have achieved great success by producing products suitable for the needs of the users, thanks to the developments and improvements occurring in technology each passing day.
Start-up is to generate a solution to a problem
Start-up is a business segment that aims at finding a new business model for a problem and aims to grow rapidly by creating appropriate solutions. Therefore, it is not possible to say that a known and tested business model is fully compatible with the concept of Start-up. As a matter of fact, the aim of the Start-up is the invention of new methods in marketing, and a Start-up will be established for the problem or issue such invention needs to solve. This is because, what matters is to set forth a new idea and to be able to put such idea into practice after creating a business model that has not been done.
Today, in many various fields such as:
· Consumer Goods and Services
· Finance Technologies
· Real Estate
· Communication Instruments
We observe that successful Start-ups are included in the global start-up ecosystem.
To exemplify; a restaurant newly established abroad has become one of the important Start-ups by exhibiting its difference particularly in terms of delivery, packaging, and content under business plans different from those of its peers. Furthermore, a new Start-up for accommodation has introduced a different system instead of classic accommodation options for persons, such as hotels in the cities they visit and thus, they have established a system where local persons stay in their homes at the place of travel. This circumstance not only provides the travelers with ease of accommodation, but also offers the option to meet people from around and to learn their travel routes better. Other than these examples, in our Country and in the world, there are many Start-ups that find unlimited different solution methods for the facilitation of personnel management and recruitment procedures and for any problems that may arise, including those that may arise in the fields pertaining to ticket sales, shoe cleaning, house cleaning, social content platforms, companies offering augmented reality (AR) experiences for the challenges of harsh environments of means, transport companies, real estate marketplaces, site management solutions, clothing and retail shopping companies, as well as the fields of education, and environmental technologies. All of these Start-ups are business models that aim to solve such problem, have created a new system, and aim for a rapid growth.
Therewithal, angel investors, who invest capital in young entrepreneurs intending to establish a start-up and thus, support their growth and development and their gaining a place in the market and who are qualified as sources of finance, contribute to business networks by mentoring start-ups, in addition to financing. The fields of start-up where angel investors have recently invested the most can be exemplified as follows:
· New generation media technologies
· Mobile operator products/services
· Artificial intelligence
· IoT (Internet of things)
· Health Technology
While investing in these rapidly developing fields means the possibility of rapid growth and of development by means of the necessary support for the a newly established Start-up, investors expand their networks and achieve a profitable growth through new business solutions they are involved in.
In conclusion, Start-ups, which are not limited to a single field, but also grow by taking advantage of technology and developments, may operate in every field where a solution is sought. It is inevitable for Start-ups, accomplishing the solutions needed by the sector by means of a new business model, to benefit from all the possibilities of technology. Start-ups that make things easier by means of a new idea and aim to achieve success in a short time will be extremely important business models in the future as well as today.