INVESTIGATION OF THE KEY SUCCESS FACTORS OF VENTURES INCUBATED AT IBA CED INCUBATION CENTER: AN EMPIRICAL STUDY

Abstract

University based Incubation centers promotes entrepreneurship across the globe by facilitating the student startups. The Pakistani universities have also followed this and are establishing incubation centers. However many incubation centers are not able to deliver the required results. This study investigates the incubation model of the IBA Center for entrepreneurial development (CED) and highlights its unique features. The IBA incubation program is unique, as it emphasizes on the development of the entrepreneurial mindset and an understanding of the effectuation theory before pursuing an entrepreneurial journey. This paper describes the IBA incubation fellowship model and its practical application on new startups. The paper analyses the companies who were incubated and identifies the key success factors of these firms. A total of 10 interviews were conducted from the selected incubatees, using multiple case study design. This paper adds to the literature on incubation in Pakistan. The result reveals that incubation centers facilitate the incubatees and help them in leveraging their resources, and networks. IBA CED work environment, entrepreneurial training, and the effectual approach to start a business are found to be the key success factors. The potential challenges faced by these incubatees include: lack of resources, lack of technical skills/ skilled employees and lack of advanced technology. The Government of Pakistan is recommended to invest in the incubation centers and facilitate them by providing them trainings based on international standards.