Feb 7, 2017 · 5 min read

As Napoleon said that “Every French soldier carries a marshal’s baton in his knapsack,” almost every startup has a desire to grow, show their business capacities and product values. But how can startup players, at early stages of their existence, stand up to corporate dinosaurs and become successful? Too often, the entire future of a startup depends on this questions, defining whether the tech startups will leap to the top or will fail at the very beginning.

Being a custom software development company that often works with startups, Perfectial is very interested in making its cooperation with tech startups even more productive, providing more tangible value. So let’s have a closer look at factors, advantages, and conditions under which tech startups will successfully compete with big competitors.

Innovation as a Key to the Startup Success

Smaller companies have always had the advantage of being able to pivot fast by making quick decisions. A startup can quickly try new things and not be intimidated by the past experiences and are not slowed by previous useless efforts, which as you know, might become a real bottleneck on the way to innovations. The startups can easily afford a luxury of being spontaneous when selecting technologies to use and a change direction of their business according to the latest trends. In a bigger corporation, the decision to use this or that technology might be considered in all its bearings by numerous departments and stakeholders for weeks or even months, missing the precious time.

Reboot plans and quickly respond to challenges, and new market opportunity will help startup compete fiercely with big corporations and in many cases outpace them. Think of Uber’s success in taking on the taxi/cab industry. It was advanced tech component of an innovative idea that helped this startup to disrupt an industry that hasn’t seen changes for years.

Speed on the Way to Product Launch

Be it small, medium, or large companies, every owner wants to speed up every business component to make everything faster. Approve idea faster, get funding faster, develop a product faster, and, finally, go to market faster. Speed — is a prerogative of a startup, preferably a startup with a trusted technology partner who can help entrepreneur select tech stack faster, try it out with a minimum viable product (MVP) or proof of concept (PoC) faster, and implement the fully-fledged software product faster.

While as a big corporation will only decide on the necessity to invest in this or that technology, will implementation of this idea be appropriate for their company or not, calculating potential net income after paying salary to their numerous employees, a startup will already have a market response to their idea.

A Startup is Closer to a Customer

We have already mentioned MVP with the help of which, a startup tests its ideas. By doing so, startups perfectly understand that being closer to customers means everything for a successful business. Your clients and only they will make a decision as to the profitability of your business. A startup has fewer boundaries to meet their customers more frequently to develop relations that are more personal as compared to a large company. When testing a product, a tech startup can meet with their clients, talk to them directly, grant them presents for being early adopters, collect feedback implementing it almost on the go, and test it once again.

A large company has many layers and departments whose main obligations usually are development of the procedures. Being the helpful tools in optimizing daily operations, established procedures almost always mean lack of personalization and too generalized approach. In chase of total automatization and standardized procedures, large enterprises often lose the ability to speak to their clients in person. And a client is a user, human being, that requires personal approach. That’s it.

Lean Nature of a Startup is Always an Advantage

Startups are lean by its nature that means first of all almost enormous flexibility rate when compared to the big companies. Fewer employees mean lessened operating time, whereas more rational decision making means increased customer satisfaction. Instead of building in isolation from users, according to the lean methodology, startups regularly expose themselves and their products to customers throughout the development cycle, when big companies usually unwillingly build isolation from their users instead.

Minimized uncertainty, better and quicker user’s feedback, and more deliberate decision making — it’s all about being a lean startup.

Agility in Startup’s Blood

Young blood of startups is agile and always forcing them to try new business approaches, step onto the unknown markets, and make challenging targets. Risky, would you say? It is risky, but as it’s known, nothing ventured, nothing gained.

In big businesses, even if they have the desire to react instantly, they are often forced to stick to the one strategy or one business model. It’s quite logically, just imagine how quickly you would be willing to change a corporate strategy shaped for months in the course of dozens of strategic sessions? Moreover, corporate giants value they C-level, or their C-level value their chairs, so changes happen there rarely but dramatically.

Your Innovative Product is Your Biggest Competitive Advantage

As we have discussed above, being a startup means to live happily without bureaucracy, numerous stakeholders, and obsolete processes. Make use of it to be as innovative and disruptive as you just can imagine. Take justified risks to make your software solution bright, memorable, and outstanding. Making your product development this way will make it almost impossible for the big businesses to catch up with your ambitious tech startup.

You should be bold with your product ideas, but really careful with selecting technologies to put this idea forward. To build a technology that competitors would have difficulties working on something very similar or use software development approaches that are tough to copy by a large company, very often you will need assistance. Or partnership. Technology partnership, to be exact, is probably the best option for a tech startup to select when making innovative products with minimal risks.

Be it an MVP or a full-fledged product, with an experienced software development company, you will quickly pick the most appropriate advanced technology, would have all the business requirements to launch a product sooner, and finally will get a software you are expecting to introduce to your audience.

After numerous years of working with tech startups, Perfectial has elaborated very distinctive approach to help startups innovate and disrupt markets with technologies but with minimal risks and at a reasonable price.

Find out how we help investors and funded startups succeed: Startup Ecosystem

Originally published at

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Helping businesses, large and small, develop and accelerate their software products

Empower Your Ideas

A community that is committed to helping entrepreneurs and their businesses start, engage, and succeed with building software

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