The role of lean start-up approach on new product development project performance in biotechnology

Document Type : Research Paper

Authors

1 Department of Entrepreneurship, Faculty of Management and Economics Science and Research Branch, Islamic Azad University, Tehran, Iran

2 Technological entrepreneurship department, Faculty of Entrepreneurship, University of Tehran, Tehran, Iran. Faculty of Entrepreneurship, University of Tehran, Tehran, Iran

3 Department of Management, Islamic Azad University, Science and Research Branch, Tehran, Iran

10.22059/jed.2024.376137.654366

Abstract

Objective: Biotechnology is one of the leading and growing industries in the world, contributing significantly to the economic growth of many countries. Bio-entrepreneurs always face many challenges in commercializing and developing their new products; so much so that the startup stage of biotechnology companies is basically called the "valley of death for companies". To support risky technological startups, Lean Startup offers a set of methods for testing and validating ideas and products, which help them respond more quickly to market changes. The Lean Startup method is a popular framework for creating innovative and pioneering companies and is increasingly attracting the attention of entrepreneurs and large organizations around the world. Since understanding the relationship between lean startups and biotechnology is also important, this study systematically and purposefully examines the relationship between lean startup trends and new product development project performance in biotechnology for the first time in Iran.
Method: This is a qualitative-research with a case study strategy with Observation, semi-structured in-depth interview and audio material tools. The statistical population of the interview consists of 18 experts and specialists and professors in the field of biotechnology in various trends and managers of biotechnology start-ups as well as managers of biological science accelerators who had expertise and experience in related fields. To standardize the measurement tool, the validity of the combination of six strategies and the reliability of the test and the reliability between two coders have been used. Thematic analysis method was used to analyze the findings and the findings were coded into three main themes and nine sub-themes. Finally, five theorems were obtained from the intersection of the observed pattern, which is the result of the practical field of research, and the research theoretical pattern, which is the result of the theoretical literature of research.
Findings: After the coding process, a total of 46 primary codes, 9 sub-themes and 3 themes have been obtained. The themes and sub-themes in this research, which are related to the entrepreneurial process, are: the theme of the lean start-up cycle including the sub-themes of hypothesizing and customer orientation, construction, measurement and learning; The theme of the moderators of the lean startup cycle includes the sub-themes of uncertainty, degree of innovation and marketing approach and the theme of product development project performance including the sub-themes of success of the product development project and a good position in the market.
Results: The discussion about the findings led to the formation of 5 propositions and suggested that the Orientation of businesses, especially start-ups and new technology companies in the field of biotechnology, to lean startup method can be influential. on the performance of their new product development projects. This influence comes from the lean startup components that include thinking, building, measuring and learning. Also, the type of innovation (fundamental or incremental), the level of market uncertainty, the level of technological uncertainty and finally the type of marketing approach (B2B or B2C) can also play an effective role on this relationship and increase or decrease it in a positive direction. An important conclusion is that, given the limitations of using the lean startup method in places where mistakes may have a negative impact on the vital activities of customers, such as in the field of health and organisms, the results of this research showed that the elements of the lean startup cycle in biotechnology, as in other fields, are effective in the successful performance of the new product development process and can be used in this field as well, with some considerations.

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References

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Journal of Entrepreneurship Development
Volume 17, Issue 3
December 2024

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