Articles

Articles

Startup Scale-up Strategies and Government Policies -Focusing on the Mobility Ecosystem-
  • Author
    Chong Ook Rhee ( Seoul Women’s University) and Sang Joon Kim (Ewha Womans University)
  • Year
    2025
  • Volume
    Vol.18
  • Number
    No.1
  • Larger companies tend to offer higher wages to workers, so the dynamic growth of startups into medium-sized and large enterprises creates an economic environment where economic growth and the creation of more high-quality jobs go hand in hand. When the growth potential of startups is analyzed using a power-law distribution by dividing industries into mobility-related and other sectors, it is found that companies in the mobility sector have greater growth potential than those in other sectors, making scale-up more rapidly achievable. Therefore, to foster more unicorns from startups, venture policies for SMEs and exploitative investment by large corporations should be more intensively focused on startups in future high-growth areas such as the mobility ecosystem. Equal support for all venture companies may seem fair from an equity standpoint, but it results in inefficient allocation of national resources, disrupts market order, and ultimately lowers the quality of life for future generations due to low growth and decreased tax revenue. Since growth potential differs across industries, inequality arising from varying growth trajectories of firms is an unavoidable reality. In the Fourth Industrial Revolution, where success hinges on hyperconnectivity and convergence, collaboration is the key. To nurture startups into scale-ups within the mobility ecosystem, cooperation among startups, large corporations, and selective growth-oriented government policies must be strengthened and expanded. Only then can more unicorns and large enterprises emerge through startup scale-ups, leading to sustainable economic growth and the creation of more high-quality jobs.
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