STRATEGIC DECISION-MAKING IN STARTUPS: BALANCING RISK ANDINNOVATION FOR SUSTAINABLE GROWTH

Abstract

Startups must make strategic decisions if they are to balance risk and encourage innovation in order to reach steady development. This study explores how startups negotiate risk management complexity in order to remain competitive by means of innovation. We investigate how strategic decisions are made by means of a mixed-methods approach using data from 100 companies across many sectors. The findings draw attention to important elements affecting startup decision-making including leadership, state of the market, and capacity for innovation. Recommendations for company founders on juggling risk and creativity for long-term viability round out the research.