A Study on the Effect of on Consulting Relationship between Accelerator and Startup on Corporate Performance

International Journal of Business Marketing and Management (IJBMM)
Volume 6 Issue 3 March 2021, P.P. 68-74
ISSN: 2456-4559
www.ijbmm.com
International Journal of Business Marketing and Management (IJBMM) Page 68
A Study on the Effect of on Consulting Relationship between Accelerator
and Startup on Corporate Performance.
Bok-Kee Joo
1
(Ph.D.student, Dept. Of Knowledge Service & Consulting, Hansung University, Korea.)
Abstract: In March 2019, the Korea of Minister of Strategy and Finance announced a strategy to spread the
second venture boom in cooperation with relevant ministries. You can start high-tech innovation start-ups by
strengthening your business to support investment mentoring skills and expanding the scale of support.
Therefore, in this study, we study the impact of entrepreneurship, network, technology orientation, strategy
orientation, and mentoring on entrepreneurial performance (financial and non-financial). Research has been
conducted on the identification of relationships and roles. It was evaluated based on statistics of 220 start-up
companies with less than 7 years of founding. The survey was analyzed using the SPSS statistics program. The
findings of the study confirmed that mentoring and entrepreneurship in social networks and startups, with the
exception of technology-oriented and strategic orientation, all play a positive role, regardless of the difference
in financial and non-financial corporate performance. Therefore, this study provides a more effective
understanding of the survival and growth of early startups and suggests a direction that can be applied to
empirical studies related to accelerators in the future.
Keywords - accelerator, corporate performance, strategic orientation, startup, technology orientation.
I. INTRODUCTION
As the lifespan of technology and knowledge shortens, the market needs a dynamic organization that
can respond quickly and individually to market opportunities, and startups are attracting attention as alternatives
to respond to environmental demands and changes. In recent years, with the rapid growth of the startup
ecosystem, research on the importance and economic effect of macro startups, and the factors that affect the
organizational performance of startups, centering on more micro startups, are being conducted.
The purpose and method of this study is to find the variables and most important determinants that
determine the success of a startup's initial market entry. For the empirical analysis, a questionnaire related to the
analysis of startup success factors was designed according to the SPSS statistical analysis method. The survey
was conducted using Likert's five-point scale and we selected eight representative success factors and questions
for a startup's initial market entry success. Requested by email among 400 companies with less than 7 years of
experience. Questionnaires, questions and answers were received, of which 220 were answered.
II. HEADING S
It is common for the early consumers of high-tech products and those in the mainstream market to
purchase products at different times and for different reasons. In this case, no matter how innovative and good
the technology or product is, it is difficult to succeed in the market unless it is practical. In the early days of
product launch, there are a few consumers who value innovation, but after that, it has to move to the mainstream
market, which is centered on consumers who value practicality. It decreases rapidly or suffers from
congestion.The operational definition of this paper is as follows. The social network of startups is a willingness
to share information about how many network relationships the entrepreneurs themselves maintain for their
entrepreneurship activities. Mentoring is based on whether entrepreneurs themselves are receiving constructive
advice and criticism from mentors.

A Studyonthe EffectofonConsulting RelationshipBetween AcceleratorandStartuponCorporatePerformance.
Table 1. Review of Previous Research
VARIABLE N SOURCE STANDARD
INDEPENDENT
VARIABLE
STARTUP NETWORKING AND
MENTORING
PSYCHOLOGICAL
CHARACTERISTICS OF STARTUPS
STARTUP'S STRATEGIC
ORIENTATION
STARTUP'S TECHNOLOGY
ORIENTATION
6
6
6
6
PARK (2014,[1]), LEE
(2013,[2])
PARK (2014), KIM
(1991,[3])
SON (2018,[4]), LEE (2011)
KIM (2017,[5]), KIM
(2016,[6])
LIKERT 5-
POINT
SCALE
DEPENDENT
VARIABLE
FINANCIAL ENTERPRISE
PERFORMANCE
NON-FINANCIAL CORPORATE
PERFORMANCE
6 KIM (2016), CHOI
(2016,[7])
YANG (2017,[8]), KIM
(2015,[9])
6
We hypothesized whether the startups's social network and mentoring significantly affect the startups's
corporate performance. The hypothesis and the content of the question are as follows. Based on the research
contents of these previous studies, the research direction of the accelerated startups was composed of eight
research items as follows. Below is a reference for this paper.
1.1. Startup's Networking and Mentoring.
Networking formed when network members act as exclusive resources to organizations outside the
network are the exchange of resources as a unique competitive advantage of a company. It facilitates product
innovation and has the effect of enhancing the productivity of physical and human resources. Existing social
capital research related to corporate management emphasizes network connection or ranks the process of social
capital creating new knowledge and resources, and there are not many studies that have integrated social capital
of ongoing startups. So, in this paper, we will consider the startup's network as an independent variable along
with mentoring [10].
1.2. Psychological Characteristics of Startups (Founder Spirit, Entrepreneurship)
It refers to the entrepreneurial values or entrepreneurial attitude. Specifically, entrepreneurship is the
consciousness of entrepreneurs to take risks and challenge new technologies and innovations to create corporate
growth and social value. Entrepreneurship was originally derived from the French word "entrepreneur" and was
used as a term for contractor, meaning "middle-man", and is used as a term that implies innovative and
managerial competence. It refers to a clear willingness to grow a company by taking the risks posed by a new
business and going through a difficult environment. As emphasized by American economist Schumpeter, it is
the main task of entrepreneurs to accurately predict the future and seek change even in the face of uncertainty in
the future, and this is called entrepreneurship. In this paper, it was interpreted as an independent variable
determined by the mind of startup companies and startups [11].
2.3. Strategic Orientation of Startups
We want to empirically present that strategic orientation effectively works on startup performance, and
at the same time analyze the effect of controlling organizational structure and organizational size. By organizing
research on strategic orientation to the market orientation that provides the foundation and attempting a
dimensional approach to theory orientation, dimensions such as customer orientation, competition orientation,
and technology orientation have influenced corporate performance. As a result of the empirical analysis, we
want to confirm that all three dimensions of strategic orientation have a significant positive impact on corporate
performance [11].

2.4. Startup's Technology Orientation
Technology orientation refers to the ability to continuously secure technologically competitive assets
used in new products. Technology orientation is the ability to develop innovative technologies and integrate
them into product development or marketing processes, and is an important characteristic that reflects a
company's innovation culture and has a great influence on performance. Technology orientation is one of
strategic orientation, which is a growth process, practice, and decision-making act for a company to
continuously generate results, and provides the potential to secure the necessary customer and competitive
advantage by acquiring technological advances that are superior to competitors. Technology orientation is
defined as an organizational culture that accepts and makes efforts to continuously secure competitive advantage
in the market and establish itself in the organization. Proposed to include creation [11].
2.5. Corporate Performance (Financial, Non-financial)
In measuring corporate performance, it can be divided into financial performance and non-financial
performance. The financial performance of a company represents corporate performance in the fields of eco-
friendly (environmental), social contribution, and transparent governance (governance). It is an indicator
developed to evaluate a company's continued management feasibility by quantifying a company's social
activities, which are not revealed in financial factors, and is a key evaluation factor considered when making
investment decisions in the UN Principles for Socially Responsible Investment (UN PRI). Some advanced
countries, such as Europe and the United States, have institutionalized the disclosure of non-financial
information in the exchange listing regulations. Management that values non-financial performance beyond
financial performance begins first in European countries. In European regions, public organizations are centered
around the standards for non-financial performance, and companies in accordance with the proposed standards
are responsible for procuring raw materials for products, producing, distributing, and disposing of their
products, from all processes to social and environmental impacts. We are manufacturing products in
consideration [12].
2.6. Accelerator
Start-up planners (directors, accelerators) are small and medium-sized ventures pursuant to Article 19-2
of the Small and Medium Business Establishment Support Act as a person whose main duties are the selection,
investment, and professional nurturing of initial entrepreneurs (those who have not passed 3 years from the start
of the business), etc. It is a non-profit corporation under the Commercial Law registered with the Ministry of
Enterprises and under the Civil Law [12].
2.7. Startup
It refers to a startup venture that has not been established for a long time, and is a term originating in
Silicon Valley, USA. It is a newly established start-up company with innovative technologies and ideas, and
differs from ventures in that it is in the stage before large-scale financing. This term was created when the dot-
com bubble startup boom occurred in the late 1990s, and usually refers to a technology-based Internet-based
company with high risk, high growth and high profit potential. In this paper, we refer to the subject that
performs four variables, which are independent variables that explain the relationship between accelerators and
startups: technology orientation, strategic intelligence, network, and entrepreneurship [12].
III. INDENTATIONS AND EQUATIONS
H 1: Startups' network and mentoring will have a significant positive (+) effect on financial performance.
H 2: Startups' network and mentoring will have a significant positive (+) effect on non-financial performance.
H 3: Entrepreneurship will have a significant positive (+) effect on financial performance.
H 4: Entrepreneurship will have a significant positive (+) effect on non-financial performance.

H 5: Strategic orientation will have a significant positive (+) effect on financial performance.
H 6: Strategic orientation will have a significant positive (+) effect on non-financial performance.
H 7: Technology orientation will have a significant positive (+) effect on financial performance.
H 8: Technology orientation will have a significant positive (+) effect on non-financial performance.
Fig. 1. Research Model
IV. FIGURES AND TABLES
This study studied the effect of the characteristics of startups on corporate performance, and for this
purpose, it targets university incubation centers in Gyeonggi-do and Seoul, companies that received
accelerators, and entrepreneurs admitted to Hansung University nursery schools. A survey was conducted. A
total of 400 copies were sent through e-mail collection and in-person visits, 220 copies were collected. Of these,
seven immoral respondents and accelerating incubation center startups focused their research. A total of 211
copies were used for the final analysis, excluding 2 questionnaires. In this study, SPSS was used to measure four
items of financial performance and four items of non-financial performance using a Likert 5-point scale.
Table 2. Respondents’ Characteristics
Frequency Percent Correct
Percentage
Cumulative
Percent
gender male
female
sum
177
35
212
83.5
16.5
100.0
83.5
16.5
100.0
83.5
100.0
age 25Under age
26~35
36~45
46~55
56Over age
56Over age
Sum
1
51
76
70
13
1
212
.5
24.1
35.8
33.0
6.1
.5
100.0
.5
24.1
35.8
33.0
6.1
.5
100.0
.5
24.5
60.4
93.4
99.5
100.0
Since this study is applying the method of empirical research using a questionnaire, validity and
reliability were conducted in the questionnaire for the measurement used in the questionnaire prior to the
hypothesis test.Table captions appear centered above the table in upper and lower case letters. When referring to
a table in the text, no abbreviation is used and "Table" is capitalized.The table below shows the factor analysis
and reliability test values in a table. As a result of factor analysis for independent variables, KMO .755 and

(>0.7) Bartlett's sphericity test (significance level .000<0.5) are used to analyze the factors. It was verified as
appropriate. In addition, since Cronbach's alpha value is above the average value of 6, it can be said that the
reliability is verified.
Table 3. Reliability analysis
Scale mean on
item deletion
Scale distribution
on item deletion
Total Modified
Items Correlation
Cronbach's Alpha
on Item Deletion
Social mentoring
1
11.27 6.228 .592 .818
Social mentoring
2
11.49 5.682 .749 .752
Social mentoring
3
11.63 5.324 .750 .747
Social mentoring
5
11.84 5.747 .576 .831
trial 3 7.33 3.187 .630 .654
trial 5 7.67 2.677 .585 .673
trial 6 7.68 2.416 .576 .698
strategy 1 12.35 3.253 .591 .778
strategy 3 12.66 2.995 .610 .771
strategy 5 12.36 2.999 .683 .734
strategy 6 12.46 3.074 .627 .761
Technology 1 12.36 3.142 .669 .698
Technology 2 12.14 3.449 .654 .707
Technology 3 12.36 3.378 .609 .731
Technology 6 12.20 4.397 .480 .791
result 1 14.10 8.936 .749 .846
result 2 14.01 9.153 .718 .853
result 4 14.21 10.361 .541 .891
result 5 13.91 9.198 .744 .847
result 6 13.98 8.555 .819 .828
Non-performance
2
11.06 4.781 .652 .774
Non-
performance3
10.93 5.163 .563 .813
Non-performance
4
11.13 4.409 .720 .741
Non-performance
5
10.98 4.756 .653 .774
In addition, exploratory factor analysis and validation were also performed in this study. This means
that in research that has not been systematically or yet theoretically established, it is conducted for exploratory
purposes to understand the direction of future research. It means obtaining consistent results when measuring
the same concept repeatedly using a measurement tool or the same measurement tool, and confirms that the
reliability verification of the concept being measured is accurately and consistently measured by the survey
respondents. As a result of conducting a prior study on the impact of startup performance, this study confirmed
that the dependent variable for the accelerator evaluation index was presented as financial and non-financial
content. So, the result is as follows.

Table 4. Hypothesis Test Result
H Route S.F. N.-F.
Coeff.
t p
1
2
3
4
5
6
7
8
Social Network and Mentoring→ Financial enterprise
performance
Social Network and Mentoring→ Non-financial business
performance
Entrepreneurship→ Financial enterprise performance
Entrepreneurship→ Non-financial business performance
Strategic orientation→ Financial enterprise performance
Strategic orientation→ Non-financial business performance
Technology orientation→ Financial enterprise performance
Technology orientation→ Non-financial business performance
.02
.13
.04
.11
.20
.25
.36
.31
.02
.45
.04
.38
.29
1.24
.42
1.26
.26
1.96
.54
1.47
2.78
3.64
5.13
4.74
.80
.05
.59
.14
.01
.00
.00
.00
V. CONCLUSION
It was possible to cultivate and experiment ideas based on the stage of this study for managers and
executives who are in the stage of commercializing ideas in a special environment of startups. In developing an
operating program for enterprise valuation and initial support, it will be possible to experiment to see if the
actual application of this study is possible.
In summary, the hypothesis was verified that four other hypotheses, namely technology orientation
and strategic orientation, all have a positive role regardless of the distinction between financial and non-
financial corporate performance, except for social networks and mentoring and entrepreneurship of startups.
The implication is that based on academic research on accelerator startups, the current state of
accelerator operation and support systems in Korea were examined, and research was conducted to identify
problems and suggest future development directions. This study provides implications, but there are also the
following limitations and future research projects.
First, the study was conducted focusing on the Korea.
Second, the research was conducted in a comprehensive manner without dividing the business type
and the founding year. This is because the policies required and supported by start-ups may vary depending on
the initial, mid and late start-ups. For example, in the early stages of a startup, immediate financial support and
support for commercialization and sales channels to continue by increasing sales may increase.
Third, depending on the start-up industry, the manufacturing industry may need more tangible assets
such as facilities, but in the case of the service industry such as content development and culture industry, new
ideas and excellent development manpower composition may be more important.
However this study has significance as analysis research paper on the characteristics of accelerators
and the performance of start-ups in nurturing. Through this, We believe that this research paper will be able to
contribute to the accelerators and startups that make up the entrepreneurial ecosystem.
REFERENCES
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[3] J.J.Kim, Small Business Management Theory (Youngsa Park,1991).
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[5] T.H.Kim, The effect of entrepreneurial characteristics and strategic orientation on management
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[10] Ra, K. H, Yang, D. G, Battulga A, Understanding the Effects of Accelerators on Startups: A Network-
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