Steam-powered industry 1.0 in the late 18th century, electricity-powered industry 2.0 in the 19th century, computer-powered industry 3.0 in the 1970s, and now internet-powered industry 4.0… industry continues its journey from one station to the other. During this journey, at each station, some passengers got off and some new passengers boarded this industry train. Businesses and businessmen who don’t adapt to the changes will have to get off at this station as well.
On the current station, start-ups are among the prominent passengers, and they are going to play an important role in this journey. Innovation and change are inherently slow in big companies, contrastingly, start-ups are agile. Tie-ups of established companies with start-ups will not only reserve the seat for the big companies on the 4th and upcoming stations of the industrial revolution, but it will also help start-ups succeed faster.
While big companies struggle to find and retain talent, start-ups too struggle to find the right opportunities. Established businesses, like governments, are or will inevitably be dead on the front of real innovations. On the other hand, VC-backed fancy start-ups are burning cash with no guarantee of operating profits. Overwhelming funds take start-ups away from the bottom line, hence away from success. Numbers indicate that fund managers lack the capability of identifying the right start-up ideas and teams. Experienced industry leaders might be more effective in this task.
The world will find its way and will continue to run. However, there will be fewer casualties of businesses, if established companies and start-ups join hands. If the Musks and Adanis of the industry, the Bidons and Modis of the government spot the Toms, Dicks, and Harrys of start-ups, together they will have a happy journey ahead.