Opportunistic adaptation in start-up companies

A key success factor for entrepreneurial start-up companies in dynamic industries is opportunistic adaptation, i.e. an entrepreneurial strategy focusing on rapid learning and adaptation to market changes. Important dimensions left out of this process in previous research are the roles played by the resources and capabilities of the firm and the entrepreneurial vision guiding business development. A theoretical framework is developed, combining the dynamic capabilities approach of the resource-based strategy school and the cognitive dimension of the business. In order to explore how the entrepreneurial vision and the firm's capabilities and resources influence the business development process, case studies of the business model evolution in 26 start-up companies in the Swedish mobile internet industry have been performed. In particular, it is found that the industry experience of the founding/management team, interaction with customers and the dependence of external parties are factors that influence the possibilities for a start-up company to succeed.