CUED Publications database

Market-pull and technology-push in manufacturing start-ups in emerging industries

Lubik, S and Lim, S and Platts, K and Minshall, T (2013) Market-pull and technology-push in manufacturing start-ups in emerging industries. Journal of Manufacturing Technology Management, 24. pp. 10-27. ISSN 1741-038X

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Abstract

Purpose - As traditional manufacturing, previously vital to the UK economy, is increasingly outsourced to lower-cost locations, policy makers seek leadership in emerging industries by encouraging innovative start-up firms to pursue competitive opportunities. Emerging industries can either be those where a technology exists but the corresponding downstream value chain is unclear, or a new technology may subvert the existing value chain to satisfy existing customer needs. Hence, this area shows evidence of both technology-push and market-pull forces. The purpose of this paper is to focus on market-pull and technology-push orientations in manufacturing ventures, specifically examining how and why this orientation shifts during the firm's formative years. Design/methodology/approach - A multiple case study approach of 25 UK start-ups in emerging industries is used to examine this seldom explored area. The authors offer two models of dynamic business-orientation in start-ups and explain the common reasons for shifts in orientation and why these two orientations do not generally co-exist during early firm development. Findings - Separate evolution paths were found for strategic orientation in manufacturing start-ups and separate reasons for them to shift in their early development. Technology-push start-ups often changed to a market-pull orientation because of new partners, new market information or shift in management priorities. In contrast, many of the start-ups beginning with a market-pull orientation shifted to a technology-push orientation because early market experiences necessitated a focus on improving processes in order to increase productivity or meet partner specifications, or meet a demand for complementary products. Originality/value - While a significant body of work exists regarding manufacturing strategy in established firms, little work has been found that investigates how manufacturing strategy emerges in start-up companies, particularly those in emerging industries. © Emerald Group Publishing Limited.

Item Type: Article
Uncontrolled Keywords: Business formation Emerging industries Manufacturing industries Market-pull Start-ups Strategy Technology-push United Kingdom
Subjects: UNSPECIFIED
Divisions: Div E > Strategy and Policy
Depositing User: Cron Job
Date Deposited: 07 Mar 2014 12:03
Last Modified: 08 Dec 2014 02:33
DOI: 10.1108/17410381311287463