This short report contains essential information about startup projects and how some startups work in cohesion with established companies. Following examples have been taken from real time environment, in particular all of them are examples from European Union. First and foremost is good to define what truly Startup is, and for that purpose will be stated definition from the book The Lean Startup, written by E. Ries:
“A startup is a human institution designed to create a new product or service under conditions of extreme uncertainty.”
So, from the very definition that is stated, it can be seen that in first plan isn’t the size or the structure of the company, politics or either economy. What is in focus and primary goal in case of Startups is generating new business model, new processes which are creating new product.
Partnership between already established company and startup is especially interesting because in that scenario both actors meet their needs. For an instance, just because of their position startups are able to think outside of the box and come with some fresh ideas, so for they can thing bigger in terms on innovating, while paying little attention to the resources or customer’s approach. In that scenario, established companies covers all the existing resources needed and customer strategy which is needed to implement and deliver innovation. Figure below, shows the process of cooperation.
Deutsche Telekom & FON Network
First example refers to FON Network. To be more precise it’s partnership with the Deutsche Telekom in Germany. Initial idea of the company (Fon) is to provide a Wireless internet to user wherever the user wants. Person would become a user, customer as soon as it receives a router. Wireless internet is obtained through that specific router. The router itself is also connected to Wi-Fi which is part of Fon’s hotspots so it’s referring to dual access WLAN.