Young Companies Help the Economy Most!

October 17, 2010

This is a pretty impressive summary article on recent studies surrounding the benefits of the start-up community to the economy.

This is not new information. I wrote a blog series about 5 years ago detailing how small companies have the natural advantage against the large companies as it relates to innovative technologies, business models, etc. and in my mind the benefits to the economy culminate from this. Young companies simply possess a better opportunity for creating competitive advantage, developing unique business growth strategies, and using better, newer approaches for company development strategies.

Joseph Shumpeter popularized the concept of creative destruction six decades ago…it is the new companies who exercise creativity and the old companies who are destructive!

I am still amazed that government policies (federal, state, local) do not directly promote new company formation and growth often. Perhaps this message to our leaders will start to resonate?

Founder & Partner

As the founder of OpenView, Scott focuses on distinctive business models and products that uniquely address a meaningful market pain point. This includes a broad interest in application and infrastructure companies, and businesses that are addressing the next generation of technology, including SaaS, cloud computing, mobile platforms, storage, networking, IT tools, and development tools.