Managerial roles in new technology-based firms (NTBFs): preventing from a ‘technology bias’

Abstract

New technology-based firms (NTBFs) are usually created by entrepreneurs with a technical or scientific background. They are highly skilled at a given technology but may not have business experience, while these firms need a balance of technical and managerial skills in order to succeed. The problem is exacerbated because most technology entrepreneurs focus on perfecting their technology at the expense of neglecting the market and customers’ preferences. They often have a ‘technology push’ view of innovation. There is abundant literature about start-up knowledge and the managerial skills that entrepreneurs need to deploy. Business education, prior managerial experience, prior start-up experience, and social capital are considered sources or drivers of these managerial skills. But little attention is paid to the influence of managers in the ‘technology push’ view of innovation in NTBFs. This research is devoted to explore this gap. The case study was chosen as the research methodology. Three Spanish NTBFs from the health provision, the drug delivery, and the ceramic hard coatings industries were studied. As a conclusion, the main role of managers in NTBFs consists of ensuring a market orientation, halting exploration, ensuring the accomplishment of functions and the possession skills, ensuring investors’ understanding of the firm’s business model, and partnering with experts.