Why are start-ups flourishing in the modern business landscape?
Despite the Covid-19 pandemic, there has been no decline in new start-up businesses. Instead, a positive trend is observed as more and more people are choosing to launch a startup company globally. There are concrete reasons for the triumph of start-ups in the prevailing business landscape, where many long-running businesses have been forced to shut down.
The technological shift in recent times has pushed many companies to adopt a fast and flexible approach. From new working norms to investing in ideas that would have been considered risky, the new generation is willing to push the boundaries.
As the digital age is shifting the gears of how business is conducted, newer mediums are emerging. From digital health services, to learning tools and even newer ways of entertainment, start-ups are not only driving the economy but also offering us simplified solutions to everything.
Read on to find out why start-ups have been so successful in the current times.
A dramatic shift in consumer needs
Frequent lockdowns and the sudden shift to essential items marginalised a considerable portion of the lucrative businesses that thrived on desirable goods. American multi-brand, J. Crew, almost reached insolvency, while another popular American departmental store chain, JCPenney, declared the same.
Conversely, this alteration in consumer demand became an unforeseen benefit for startup ideas that may not have had promising prospects before, varying from delivery services, commercial cleaning, fitness and wellness programmes and more. Most of the newfound start-ups were quick enough to navigate the changing economic climate.
The boom in start-ups can be partly attributed to the fact that a sizeable percentage of the working class were laid off from their jobs, many of whom showed interest in having a venture of their own, specifically in Germany, having witnessed over a hundred new start-ups post-pandemic, likely supported by the favourable ecosystem.
The ‘Digital-first’ consumer approach
There was enough similarity between online and offline retail, but the last two years have seen a surge in demand for digital shopping. Nearly every business that overlooked the need to have a digital presence has suffered. People are still hesitant to step out of their homes, and many of the start-up companies have adjusted to the ongoing situation.
Various Edtech, Pharma and Fashion e-tailer start-ups have benefitted with a robust digital presence, cementing themselves in hyperlocal trade, providing door-to-door delivery.
Irrespective of the vaccination, consumers’ interest has remained rooted in digital purchasing means. Most of these start-ups managed to execute their ideas well in the changing economic environment and registered their presence in the new, secluded lifestyle of people who have been exercising more and exploiting the digital sphere.
Endeavouring to create a positive change in the society
Not every startup company has thrived with the intent of making profits. Chukwuma Anklin Amadi’s ‘Back to School Africa’ initiative was a small but noble step in providing education to the underprivileged communities as a means to break their cycle of poverty. A graduate of the Berlin School of Business and Innovation (BSBI), Amadi’s endeavour touched many lives as he steadily gained volunteers and donors from as many as ten countries in helping him achieve his objective.
Similar, is the story of another BSBI graduate, Sandra Akunna Ejiofor, who started her NGO ‘FORUFEDA’, which aimed to ensure education for girls across the world, starting with her homeland, Nigeria. Though the road for her hasn’t been smooth, she won the college’s start-up competition, winning prize money of €1,000, and has been steadily strengthening her prospects.
The pandemic and its challenges notwithstanding, the start-ups aiming for societal growth and empowerment show healthy prospects.
The era of start-ups
There was a time when the story of Jeff Bezos starting a multinational company from his garage sounded like a distant dream to achieve. The current tribe of entrepreneurs have turned a crisis situation into one of global opportunities.
Despite the unfavourable circumstances, many new businesses have emerged and made a successful name for themselves. In the past, Uber, Dropbox and Airbnb have turned start-up ideas into global success.
If you are looking to make a career in the business landscape, then check out the undergraduate and postgraduate programmes that are offered by the Berlin School of Business and Innovation. From a wide range of options that covers everything from hospitality to international business management and illustration, you will find a variety of programmes suited to your expertise and requirements. With an expert faculty and dedicated career platform, students will be supported throughout their academic journey at BSBI. To find out more, click here!
Why should I enrol onto a BSBI programme?
At BSBI, we focus on three core concepts as part of our learning- enterprise, leadership and success. So, all of our programmes are structured around these principles with emphasis on giving students an insight into the industry and teaching them practical business skills.
Along with equipping them with the latest information, we also provide students with the right tools that are needed for success. Additionally, through practical teaching methods which includes visits to exhibitions and businesses, students gain practical understanding of all the concepts that are part of the curriculum.
Is Berlin a good city for international students?
Berlin is one of the most popular cities in the world and one of the best places to study in. The QS ranked it the seventh best student city in the world in 2018. What’s more, apart from good education, this place offers ample job opportunities as it boasts one of the largest economies in the world. There are many start-ups that are flourishing in this city and many new businesses continuously look to invest in Berlin.
The capital of Germany is a lively city with a great cultural scene and has many restaurants, bars, museums, opera houses and a lot more. Despite all this, Berlin has an affordable cost of living, making it a perfect city for international students.