Research Agenda for Startups, Scale-Up, Scale-Down, and Re-Scaling Strategies

Edited by Christian Felzensztein, Professor of Entrepreneurship and Reh Family Endowed Chair in Entrepreneurial Leadership, Clarkson University, New York, USA, Afsaneh Bagheri, Senior Lecturer in Entrepreneurship, Lincoln International Business School, University of Lincoln, UK and Christian Lechner, Full Professor of Entrepreneurship and Director of the Department of Business and Management, Luiss University, Italy

• ContentsIntroduction: a research agenda for startups, scale-up, scale-down,and re-scaling strategies 1Christian Felzensztein, Afsaneh Bagheri and Christian LechnerPART I STRATEGIC FOUNDATIONS AND DYNAMICS OFSCALING1 The scaling funnel: insights into transitioning from startupto scaleup 6Christian Lechner2 Decoding scaling success: how strategic orientation andcapabilities shape the growth trajectories of software firms 17Rod B. McNaughton and Rakinder Sembhi3 Scaling identity and dynamics: the critical role oforganizational identity in navigating scaling-up, scaling-down and re-scaling challenges 41Euclides Major, Philipp Bubenzer and Rogério Proença4 Building leadership for scale: the role and design of SMEleadership programs 65Simon Raby and Mark HartPART II SCALING ACROSS BORDERS5 Startups’ international expansion: comparing the cross-border scaling of three software startups 92Deniz Tunçalp and Hakan Erten6 Unconventional internationalization decisions in globalscaling: understanding the influence of CEO characteristics 114Esther Tippmann and Sinéad Monaghan7 Scale-ups and scaling within Latin America 134Sascha Fuerst8 Scaling-up and scaling-down within rapidlyinternationalising start-ups: founders’ perceptions of theneed to transform capabilities and the role of stakeholders 150Shiv Chaudhry, James M. Crick and Dave CrickPART III ALTERNATIVE AND CONTEXT-SPECIFIC SCALINGAPPROACHES9 Alternative scaling strategies for post-growth-orientedentrepreneurs: lessons from platform cooperatives 169Carla Bustamante and Veronica Devenin10 Scaling at the speed of tech: how digital tools drive startupexpansion 189Hrishikesh Desai11 The role of exit strategy in startups’ scale-up, re-scalingand scale-down 212Carol Lucy and Antonina Bauman

‘The relentless growth, development and expansion of a startup culture across the globe has been transformative in a myriad of ways. Scale-ups have made enormous contributions to economic development, innovation and job creation. Although there have been many books on entrepreneurship in both industrialized and developing nations, the latest contribution by Felzensztein, Bagheri, and Lechner is a stand-out. Cogent, compelling and well-written, their book comprises case studies, expert insights and actionable frameworks. The Research Agenda they spell out covers strategic foundations and dynamics of scaling, scaling across borders, and alternative and context-specific scaling approaches. The authors’ comprehensive volume is a “must-have” for academics, entrepreneurs, investors, and policymakers. The roadmap they provide fills a void in both the academic literature as well as that of business practice. I unhesitatingly give it two thumbs up!’