When we expand our perspective on startups, a more robust entrepreneurial ecosystem opens up.
The Korea Venture Entrepreneurship Society and the Korean Management Association held the 'Korean Entrepreneurship Future Forum (KEFF: chaired by Choi Byeong-cheol, professor at Hankuk University of Foreign Studies)' at Soongsil University on the 20th. The theme for this first forum was 'How far can we go with startups?'
Experts emphasized the need to break away from the narrow perception that limits startups to 'initial technology companies of entrepreneurs' to foster growth in the domestic entrepreneurial ecosystem. An inclusive perspective on startups, which includes various structures and investment stages pursuing rapid growth and innovation, can serve as the foundation for new policies and the design of a growing entrepreneurial ecosystem.
Experts also pointed out that equating entrepreneurs with enterprises is one of the obstacles to expanding the exit market. When an entrepreneur establishes a company but subsequently receives investment that changes the governance structure, the 'owner' may also change or diversify, yet Korea still lacks awareness of this governance structure.
Kim Joo-hee, a professor at Dongduk Women’s University, defined startups as organizations with 'innovation' as a core value. She stated, 'Startups are enterprises designed for rapid growth,' adding, 'They are not just simple new businesses but organizations that pursue innovation, with stage-by-stage growth and internationalization potential.' She further explained, 'Startup investment activities involve combining non-financial support such as capital, mentoring, and networks with financial support for innovative companies that have not yet proven market viability or profitability.'
Professor Kim also noted, 'In later growth stages of startups, various investors, including private equity (PE) and corporate venture capital (CVC), are participating, forming a multi-layered ecosystem in terms of industry, maturity, and exit method.' She added, 'Existing investment centered on venture capital (VC) and policies focused on the age of startups do not reflect the realities of the changing startup market.' Professor Kim stressed that 'startups should be redefined based on innovation and scalability rather than the age or size of the corporation, and policies and support systems need to be flexibly reshaped to align with the diversity of investors and growth stages.'
Professor Kang Sin-hyung of Chungnam National University emphasized the need for 'diversification of management and startup growth models.' He stated, 'Entrepreneurs need to demonstrate leadership suitable for each growth stage, including creativity in the early stages, delegation of authority and control, team building, and market dominance, but many entrepreneurs fail to do so.' He added that the shift to a 'full delegation model (professional management system)' where entrepreneurs step back from managing the business, cede equity, or undergo mergers and acquisitions (M&A) is also critical in the startup growth model, clarifying that it does not mean entrepreneurs must always manage the company.
Professor Kang also stated, 'New managers taking over the company must present a new vision and narrative of values to replace the founders' brand and story, inheriting entrepreneurship and establishing growth strategies for the corporation.'
Professor Heo Gong-hoe from Soongsil University discussed the growth of technology startups. He stated, 'Companies that dominate future technologies will lead the world,' noting that 'the industry paradigm is shifting toward new technologies such as AI and robotics in the mobile platform era, and domestic startups must adapt to technological changes to grow.'
Lee Woo-jin, chairman of the Korea Venture Entrepreneurship Society (professor at Kookmin University), stated, 'It is significant to hold the first forum of the Korean Entrepreneurship Future Forum' and added, 'I will continue to strive to contribute to the growth and development of the startup ecosystem that will be responsible for the future of the Korean economy.'