Muticultural and ethnic startups are definitely a somehow neglected opportunity concerning business. These are the advantages and the open issues according to my experience.
- Enhanced Dynamism: multyculty startups are hungry for success
- Multyculty startup it’s naturally a blue ocean because funders think differently and naturally out of the box and, by facing differents and sometimes harder issues, they can compete in a sometimes creative and innovative way. If 9 out of 10 startups are there both to answer to customer needs or solve creatively and consistently an already experienced personal problem/disruption, multyculty founders critically observe a larger quantity of market segments and certainly experience a wider set of social and cultural issues.
- A multyculty partnership between startup founders for a better understanding of a multyculty society. They can understand much better the concept of cultural relativism, therefore they are able of investigating not just how different cultures work, but also how different cultures and mindsets perceives them!
- Internazionalization: a multyculty business has a by-design international potential ready to develop
- Approach to problem solving: a multyculty startup owns by its very beginning a wider set of opportunities, cultural tools and different point of view in order to approach and solve an issue, because it deals every day with confrontation and negotiation as a tool to collaborate and develop/finalize its business plan
- A (back) door to integration through entrepreneurship: successful multyculty startups represent both an example and a tangible way to involve young entrepreneur coming from another country and/or owning a different cultural background into a real entrepreneurial carrier. It represents a chance of success and integration. Local& funding institutions should do more in communicating and promoting positive and successful examples of multicultural startups.
- Long term projects: that’s what in general multyculty startups are, because generally speaking creating a multicultural startups involves also a challenging and sometimes radical life plan
- Able (and familiar) with concept of choice/ ability to change mind (mindset): entrepreneurship and startupping is about making many difficult choices and (even more challenging) being able to recognize a failure and changing idea. This is already available in a multyculty startup, where is necessary since the very beginning to sum up, mediate between funders and frame different perspectives, thoughts and beliefs
- Able to naturally adapt leadership styles to different working conditions. For most of them, a leadership positon is something you conquer and deserve and that may vary according to different environment/market conditions
1.Ethnic gap concerning venture capital. Not enough number of specialized firms. Skepticism and sometimes reluctance in investing in this kind of startups…but is there a real different risk for investing in multyculty or instead more remuneration opportunities
2.Lack of specific services. Multyculty startups have very specific needs concerning funding, training, coaching and communication: most of the times there is no appropriate offer of consulting services.
- Incubators: it would be interesting to develop a real project for a multicultural incubator where cross fertilization is the primary mission. Sometimes this already happens, but generally not in a structured/organized way.
- Lack of public funding and specific call for ideas on multicultural/ethnic entrepreneurship
- Lack of specific higher education based on an interdisciplinary study programs offering knowledge and skills on business administration, including internet marketing and international strategies, and key soft skills of intercultural dialogue and intercultural relations.