An Exploratory Study on the Determinants of Business Performance in Small Business Start-ups

Abstract

The main purpose of this study is to explore the key factors that contribute to the success of small business startups and their business performance. Existing previous studies on successful businesses have presented the personal characteristics of small business owners as valid success factors. In addition, business strategy has been considered an important factor in improving business performance. Above all, we aim to investigate the factors that affect business performance, with a focus on the difference between success and failure, even under the same starting conditions. The summary of the study’s results are as follows. First, regulations and measures for entrepreneurship are necessary to lead successful startup of small business owners. Second, there is a lack of active promotion of post-management programs that can sustainably manage startup stores. Third, efforts are needed to develop high-quality post-management programs in addition to promoting the proactive implementation of such programs. Fourth, there is a situation where there is a lack of professional personnel and budget to effectively implement various startup support programs provided by the government, compared to other startup support programs. Fifth, there is a need for a joint effort between the government and entrepreneurs towards the shared goal of establishing successful startups, both in the preparation phase before actual startup and in the process of settling after starting up.