Incubator efficiency vs survival of start-ups

Francisco Tomás Zapata-Guerrero, Jannett Ayup, Elizabeth L. Mayer-Granados and Jorge Charles-Coll

RAUSP Management Journal, 2020, vol. 55, issue 4, 511-530

Abstract: Purpose - The purpose of this paper is to contribute to the knowledge on the efficiency of the incubators in Mexico, from a double-managerial approach (incubator and start-ups) measuring the efficiency oriented to the survival growth in the employment. Design/methodology/approach - The efficiency of 25 business incubators of a university in a Mexico was analyzed from 2012 to 2014. Through the envelope data analysis (DEA) technique, composed of five inputs and three outputs, which help to determine the decision-making units (DMUs) that are in the best practice border, being able to know the factors relevant and how they have been managed in the different incubators. Findings - One of the three years observed was identified as the most efficient, with 13 start-ups at the most efficient border. The projection shows some entries that must be modified to maximize the creation of new incubated business with a focus on survival and growth. The authors propose the resources that must be modified to adopt efficient management practices for incubators and start-ups small size. Research limitations/implications - This analysis recognizes the size and restriction of resources as a determinant in the efficiency of intermediate technology business incubators. However, an obvious limitation is the non-standardized sample of 25 incubators does not allow generalizing the results. Practical implications - The special support received by start-ups linked to a university with strong financial and non-financial support. Originality/value - Dual management (incubator and incubated start-ups) approach to efficiency analysis and the use of the DEA for the incubation topic and to fill a gap persists in the understanding of creation of new business in intermediate technology.

Keywords: DEA; Start-ups; Spin-off; Survival; Incubators; Intermediate technology (search for similar items in EconPapers)
Date: 2020
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Citations: View citations in EconPapers (2)

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Persistent link: https://EconPapers.repec.org/RePEc:eme:rauspp:rausp-04-2019-0063

DOI: 10.1108/RAUSP-04-2019-0063

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