Much effort has been put into establishing venturing ecosystems. Mostly, these attempts were focused on stimulating venture capital and entrepreneurship through incubators and entrepreneurship programs. However, with the emerging seed- and crowdfunding platforms – such as Angellist, Indiegogo, Y-combinator and 500 start-ups – seed capital is widely available. Furthermore, the lean start-up methodology advocated by Eric Ries provides a blue print for start-ups to develop an idea into a product, solution or company based on the same end-user orientation as common in Silicon Valley. The lean start-up approach can be applied anyplace and anywhere – not only by start-ups. The missing link in the development of venturing ecosystems is that leading aspirational ecosystem players need to change their operating model too.
Once leading ecosystem players accept employee mobility to be a driver for change, adopt a platform approach and start embedding third party interfaces into their business model, we will start to see flourishing Bay Area alike ecosystems. Further, a strong purpose and a ‘living the purpose’ approach will create an environment where full empowerment becomes the norm, replacing top-down management and controls.
As a result, the Silicon Valley operating model enables low barrier collaboration between the leading players and emerging start-ups. Aspirational ecosystem players that adopt this model will increasingly see more growth opportunities through collaboration, investments or acquisitions. A side effect is that entrepreneurs will become less concerned about failure as they now have a fall back scenario to give their start-up learnings a second chance.