INTERNET CLUSTER REGIONS IN GERMANY Appendix: Profiles of the 20 Most Important Cluster Regions in G - PowerPoint PPT Presentation

1 / 42
About This Presentation
Title:

INTERNET CLUSTER REGIONS IN GERMANY Appendix: Profiles of the 20 Most Important Cluster Regions in G

Description:

... mainly of VC firms that usually are located in the federal state's capitals, e.g. ... in 2000 is ranked #15 in the list of Internet cluster regions in Germany ... – PowerPoint PPT presentation

Number of Views:123
Avg rating:3.0/5.0
Slides: 43
Provided by: lutzk
Category:

less

Transcript and Presenter's Notes

Title: INTERNET CLUSTER REGIONS IN GERMANY Appendix: Profiles of the 20 Most Important Cluster Regions in G


1
INTERNET CLUSTER REGIONS IN GERMANYAppendix
Profiles of the 20 Most ImportantCluster Regions
in Germany(Part 2, 11-20)
  • Center for Entrepreneurial Studies
  • EUROPEAN BUSINESS SCHOOL
  • Oestrich-Winkel, March 2001

2
PROFILES OF THE 20 MOST IMPORTANT CLUSTER
REGIONS Ranking Results
Part 2
  • Munich
  • Berlin
  • Hamburg
  • Frankfurt
  • Cologne
  • Stuttgart
  • Düsseldorf
  • Bonn
  • Dortmund
  • Nuremberg/Erlangen
  • Karlsruhe
  • Mainz/Wiesbaden
  • Hannover
  • Mannheim/Heidelberg
  • Bielefeld
  • Wuppertal
  • Duisburg
  • Darmstadt
  • Bremen
  • Augsburg

1
11
2
12
3
13
4
14
5
15
6
16
7
17
8
18
9
19
10
20
3
CLUSTER REGION KARLSRUHEProfile
  • Karlsruhe is one of the pioneer locations of the
    German Internet industry
  • The local university project "eXtended Lokales
    Informatik Netz" was launched in 1984 and
    privatized in 1993 as Xlink, one of the first
    ISPs in Germany (1)
  • About 320 startups two thirds in the city
    itself
  • Importance of the local university is seen in
    Karlsruhe's strong position in software
    manufacturers and integrators
  • Great business climate with 16.4 permanent
    employees (average 10.5) the startups have grown
    successfully
  • Technology-oriented founders in Karlsruhe miss
    access to venture capital investors
  • 5 VC offices are located in the city
  • Only 5 of 164 startups identified were funded by
    VCs
  • In "proximity to investors" Karlsruhe ranks third
    last together with Nuremberg/ Erlangen, with only
    Bremen and Duisburg getting worse evaluations
  • Talent seems to be in sufficient supply also
    due to the local university
  • Access to employees is the only factor rated
    clearly above average
  • All other factors are rated average or slightly
    below (with the exception of proximity to
    investors)

(1) Today KPNQwest
4
UNIVERSITY CITY KARLSRUHE SHOWS A LARGE NUMBER OF
STARTUPS IN THE SURROUNDINGS
Local startups Foreign firms
5
KARLSRUHE IS LOCATED CENTRALLY WITH A DEVELOPED
INFRASTRUCTURE AND GOOD ACCESS TO EMPLOYEES
Disadvantage Only Small Local Investor
Community
Question "How well does your current location
meet your requirements compared to other
cities/regions in Germany ?"(1)
Not at all
Very well
Not at all
Very well
n13
(1) Evaluation is the average of 1Very well,
2Well, 3So/so, 4Not well, 5Not at all.
Transfered to a scale of 0-100 Source Survey
with 8,989 Internet/E-Commerce startups, analysis
of 1,178 valid responses
Evaluation This regional cluster only For
comparison Average for Germany
6
KARLSRUHE WITH AN EMPHASIS ON SOFTWARE
INTEGRATORSSmaller Share of E-Commerce and Other
Service Categories
Distribution by business model(1)
Share of total number of startups by business
model
Avg 2,0
Nav.Information
Nav.Information
B2C-Transaction
B2C-Transaction
B2B-Transaction
B2B-Transaction
Multimedia
Multimedia
ISPs
ISPs
Integrators
Integrators
Specialized ervice providers
Specialized service providers
Software
Software
S311
Infrastructure
Infrastructure
Number of active startups
Concentration factor
(1) Projection based on estimated identification
rates by business model for illustration
purposes only Source Identification of 9,000
Internet/E-Commerce startups in Germany
7
CLUSTER REGION MAINZ/WIESBADENProfile
  • Jointly, Mainz and Wiesbaden are an important
    location for Internet startups
  • About 250 startups one third in one of the
    city's vicinity
  • The region shows a balanced mix of business
    models with a peak in transaction-oriented B2C
    companies
  • Opportunities for growth are good 15.3
    permanent employees (average 10.5) position
    Mainz/Wiesbaden in the upper center-field
  • Mainz (capital of Rhineland-Palatinate) and
    Wiesbaden (capital of Hesse) seem to be less
    interesting for VC firms
  • Only 5 offices, mainly of VC firms that usually
    are located in the federal state's capitals, e.g.
    Mittelständische Beteiligungsgesellschaften
    (MBGs)
  • Of 127 identified startups only 4 were found to
    be VC-backed
  • Presumably, due to the proximity to Frankfurt
    with a large number of VC firms this is not seen
    as a disadvantage
  • Founder's confidence levels are slightly above
    average
  • High quality of life but lower image
  • Good access to talent but smaller market
    potential
  • Positive evaluation also for access to research
    and infrastructure (Mainz and Wiesbaden are
    located centrally and close to the Frankfurt
    airport)

(1) MBGs Non-profit, public investment firms
focussed on providing equity finance for small-
and medium-sized companies, operated by
most of the German federal states
8
DUE TO THEIR PROXIMITY MAINZ AND WIESBADEN ARE
CONSIDERED ONE REGIONAL CLUSTER
Local startups Foreign firms
9
FOUNDERS IN MAINZ AND WIESBADEN RATE QUALITY OF
LIFE AS HIGH, BUT IMAGE OF THE REGION AS
LOWAdvantages Access to Talent and Excellent
Infrastructure
Question "How well does your current location
meet your requirements compared to other
cities/regions in Germany ?"(1)
Not at all
Very well
Not at all
Very well
n33
(1) Evaluation is the average of 1Very well,
2Well, 3So/so, 4Not well, 5Not at all.
Transfered to a scale of 0-100 Source Survey
with 8,989 Internet/E-Commerce startups, analysis
of 1,178 valid responses
Evaluation This regional cluster only For
comparison Average for Germany
10
MAINZ/WIESBADEN WITH A BALANCED MIX OF BUSINESS
MODELSException High Rate of Transaction-Oriente
d B2C Companies
Distribution by business model(1)
Share of total number of startups by business
model
Avg 1.6
Nav.Information
Nav.Information
B2C-Transaction
B2C-Transaction
B2B-Transaction
B2B-Transaction
Multimedia
Multimedia
ISPs
ISPs
Integrators
Integrators
Specialized ervice providers
Specialized service providers
Software
Software
S234
Infrastructure
Infrastructure
Number of active startups
Concentration factor
(1) Projection based on estimated identification
rates by business model for illustration
purposes only Source Identification of 9,000
Internet/E-Commerce startups in Germany
11
CLUSTER REGION HANNOVERProfile
  • Hannover the city hosting the World Exhibition
    in 2000 is ranked 15 in the list of Internet
    cluster regions in Germany
  • About 200 startups one third located in the
    suroundings
  • The large share of service companies secures the
    base supply of Internet services for business
    customers and consumers
  • About 15-20 software and 30 E-Commerce companies
    are also active in the region
  • With 11.3 permanent employees, Hannover startups
    are slightly above average size (of 10.5
    employees)
  • The capital of Lower Saxony is also home to about
    10 VC offices
  • About 5 of startups are backed by VC firms
  • Founders give above average ratings for
    "proximity to investors"
  • Evaluations give a very distinct picture
  • Availability of office space, salary levels and
    access to technology centers are seen as positive
    characteristics of this region
  • Quality of life and access to qualified employees
    show below average ratings, as well as local
    market potential and proximity to customers
  • Hannover's geograpic location puts startups at a
    greater distance to strategic partners and
    suppliers

12
ABOUT 200 INTERNET/E-COMMERCE STARTUPS ARE
LOCATED IN HANNOVER CITY OF THE WORLD
EXHIBITION 2000
Local startups Foreign firms
13
FOUNDERS IN HANNOVER DIFFERENTIATE CLEARLY
BETWEEN POSITIVE ASPECTS AND PROBLEM AREAS
Advantages Office Space, Infrastructure, Image
and Salary Levels
Question "How well does your current location
meet your requirements compared to other
cities/regions in Germany ?"(1)
Not at all
Very well
Not at all
Very well
n14
(1) Evaluation is the average of 1Very well,
2Well, 3So/so, 4Not well, 5Not at all.
Transfered to a scale of 0-100 Source Survey
with 8,989 Internet/E-Commerce startups, analysis
of 1,178 valid responses
Evaluation This regional cluster only For
comparison Average for Germany
14
HANNOVER STARTUPS FOCUS ON SUPPLYING BASIC
INTERNET SERVICES A Smaller Number of Software
and E-Commerce Companies is Also Active
Distribution by business model(1)
Share of total number of startups by business
model
Avg 1.4
Nav.Information
Nav.Information
B2C-Transaction
B2C-Transaction
B2B-Transaction
B2B-Transaction
Multimedia
Multimedia
ISPs
ISPs
Integrators
Integrators
Specialized ervice providers
Specialized service providers
Software
Software
S209
Infrastructure
Infrastructure
Number of active startups
Concentration factor
(1) Projection based on estimated identification
rates by business model for illustration
purposes only Source Identification of 9,000
Internet/E-Commerce startups in Germany
15
CLUSTER REGION MANNHEIM/HEIDELBERGProfile
  • Heidelberg and Mannheim (with Ludwigshafen) were
    considered one cluster region
  • In total 250 startups 60 in both cities and
    40 in the vicinity
  • Balanced mix of business models with a smaller
    peak for integrators
  • Companies occupy 14.9 permanent employees
    (average 10.5) indicating above-average
    development opportunities for startups
  • VC community in Mannheim and Heidelberg is
    comparably small
  • Only 6 local VC offices in both cities
  • VC funding was only found for 7 of the 124
    startups identified
  • Startups see their location as disadvantaged
    regarding proximity to investors
  • Evaluations for both cities are below average in
    most dimensions
  • Proximity to customers and strong local market
    potential are the only factors rated above average

16
HEIDELBERG AND MANNHEIM WITH LUDWIGSHAFEN ARE
CONSIDERED A JOINT REGIONAL CLUSTER
Local startups Foreign firms
17
STARTUPS IN MANNHEIM AND HEIDELBERG RATE LOCAL
MARKET POTENTIAL ABOVE AVERAGEAll Other Factors
Rated Average or Below
Question "How well does your current location
meet your requirements compared to other
cities/regions in Germany ?"(1)
Not at all
Very well
Not at all
Very well
n15
(1) Evaluation is the average of 1Very well,
2Well, 3So/so, 4Not well, 5Not at all.
Transfered to a scale of 0-100 Source Survey
with 8,989 Internet/E-Commerce startups, analysis
of 1,178 valid responses
Evaluation This regional cluster only For
comparison Average for Germany
18
MANNHEIM/HEIDELBERG WITH EMPHASIS ON
SERVICE-ORIENTED STARTUPSThree Quarters of All
Startups Can Be Allocated to this Category
Distribution by business model(1)
Share of total number of startups by business
model
Avg 1.6
Nav.Information
Nav.Information
B2C-Transaction
B2C-Transaction
B2B-Transaction
B2B-Transaction
Multimedia
Multimedia
ISPs
ISPs
Integrators
Integrators
Specialized ervice providers
Specialized service providers
Software
Software
S237
Infrastructure
Infrastructure
Number of active startups
Concentration factor
(1) Projection based on estimated identification
rates by business model for illustration
purposes only Source Identification of 9,000
Internet/E-Commerce startups in Germany
19
CLUSTER REGION BIELEFELDProfile
  • Bielefeld seems an attractive location for
    service companies
  • In total about 180 startups of these half are
    located in the surroundings
  • Bielefeld is located at some distance to other
    cluster regions in North Rhine-Westphalia for
    this reason it shows an emphasis on service
    companies focused on local customers
  • Startups are slightly bigger than the average
    11.5 employees versus 10.5
  • Bielefeld is without local VC firms
  • The next VC firm is located in Gütersloh
  • Only 3 of the 101 identified startups are
    financed by VC firms
  • Founders see "proximity to investors" not as a
    problem mainly due to their service orientation
    and lower demand for equity finance
  • Founders are confident with their region and give
    Bielefeld an average evaluation
  • Good quality of life and image, although ratings
    are slightly below average
  • From the founder's perspective, key problem areas
    are local infrastructure (due to geographic
    location) and little access to research

20
BIELEFELD AND ITS SURROUNDINGS ARE HOME TO ABOUT
180 INTERNET/E-COMMERCE STARTUPS
Local startups Foreign firms
21
BIELEFELD SHOWS ABOVE-AVERAGE MARKET
POTENTIALDistance to Other Clusters in North
Rhine-Westphalia Leads to Low Evaluations in
Infrastructure and Proximity to Customers,
Investors, Suppliers and Research
Question "How well does your current location
meet your requirements compared to other
cities/regions in Germany ?"(1)
Not at all
Very well
Not at all
Very well
n19
(1) Evaluation is the average of 1Very well,
2Well, 3So/so, 4Not well, 5Not at all.
Transfered to a scale of 0-100 Source Survey
with 8,989 Internet/E-Commerce startups, analysis
of 1,178 valid responses
Evaluation This regional cluster only For
comparison Average for Germany
22
MAINLY SERVICE COMPANIES AND E-COMMERCE STARTUPS
ARE LOCATED IN BIELEFELD Software Companies and
Specialized Service Providers with Less
Importantance
Distribution by business model(1)
Share of total number of startups by business
model
Avg 1.2
Nav.Information
Nav.Information
B2C-Transaction
B2C-Transaction
B2B-Transaction
B2B-Transaction
Multimedia
Multimedia
ISPs
ISPs
Integrators
Integrators
Specialized ervice providers
Specialized service providers
Software
Software
S183
Infrastructure
Infrastructure
Number of active startups
Concentration factor
(1) Projection based on estimated identification
rates by business model for illustration
purposes only Source Identification of 9,000
Internet/E-Commerce startups in Germany
23
CLUSTER REGION WUPPERTALProfile
  • Wuppertal is little known for Internet startups
  • Densely populated region with strong demand for
    Internet services
  • About 250 startups of these two thirds in the
    surroundings and the neighbouring cities of
    Remscheid and Solingen
  • Mix of business models shows an emphasis on
    providers of basic Internet services, like ISPs
    and multimedia firms innovative business
    concepts have a low share only
  • Due to the large number of service companies,
    startups are clearly smaller than average (7.9
    employees compared to 10.5)
  • On the VCs roadmap Wuppertal is a white space
  • No VC offices were found in Wuppertal itself
  • Only one of 130 startups identified did receive
    funding by VC firms
  • The absence of a local VC community is not seen
    as a problem by founders presumably because
    small service companies have a low demand for
    risk capital
  • In general, startups in Wuppertal are not unhappy
    with their location
  • Proximity to strategic partners and suppliers are
    seen as advantages the region reaches first
    rank in access to technology centers
  • Key problem area for founders Quality of life
    and low image make it diffcult to recruit
    talented employees

24
WUPPERTAL WITH ITS SURROUNDINGS RANKS NUMBER 16
ON THE LIST OF INTERNET CLUSTERS IN GERMANY
Local startups Foreign firms
25
WUPPERTAL FOUNDERS SEE THE REGION'S IMAGE AND THE
RESULTING PROBLEMS IN RECRUITING AS MAJOR
PROBLEMPositive Proximity to Customers,
Availablity of Offices and Technology Centers
Question "How well does your current location
meet your requirements compared to other
cities/regions in Germany ?"(1)
Not at all
Very well
Not at all
Very well
n12
(1) Evaluation is the average of 1Very well,
2Well, 3So/so, 4Not well, 5Not at all.
Transfered to a scale of 0-100 Source Survey
with 8,989 Internet/E-Commerce startups, analysis
of 1,178 valid responses
Evaluation This regional cluster only For
comparison Average for Germany
26
STARTUPS IN WUPPERTAL FOCUS MAINLY ON
SERVICESSmall Peak in Infrastructure Companies
of Little Relevance in Terms of Numbers
Distribution by business model(1)
Share of total number of startups by business
model
Avg 1.6
Nav.Information
Nav.Information
B2C-Transaction
B2C-Transaction
B2B-Transaction
B2B-Transaction
Multimedia
Multimedia
ISPs
ISPs
Integrators
Integrators
Specialized ervice providers
Specialized service providers
Software
Software
S242
Infrastructure
Infrastructure
Number of active startups
Concentration factor
(1) Projection based on estimated identification
rates by business model for illustration
purposes only Source Identification of 9,000
Internet/E-Commerce startups in Germany
27
CLUSTER REGION DUISBURGProfile
  • As a city with more than 500,000 inhabitants,
    Duisburg has a large demand for Internet services
  • About 200 startups more than 60 in the
    surroundings
  • 250 additional startups are located in the
    neighbouring cities of Essen and Krefeld
  • A large share of these companies offer Internet
    services to consumers and businesses besides
    about 30 E-Commerce and 15 software companies
  • With 6.7 permanent employees, local startups are
    the smallest among the top 20 regions surveyed
    (average 10.5)
  • On the VC firm's roadmap Duisburg is a white
    space
  • Only 4 of 113 startups identified were funded by
    VCs
  • A local VC office could not be found
  • Even though VC firms are located close by in
    Essen (4 offices) and Düsseldorf (22 offices),
    startups rate proximity to investors as clearly
    below average
  • The founder's evaluation is similar to that of
    other Ruhr area locations
  • Image problems and low quality of life result in
    a shortage of potential employees
  • Market potential, availability of office space
    and low salary levels are seen as advantages
  • Below-average ratings for infrastructure and
    proximity to important industry players
    (strategic partners, investors, suppliers and
    research)

28
AS A CLUSTER DUISBURG IS 6 IN NORTH
RHINE-WESTPHALIAKrefeld and Essen are Considered
Separately but also Lie in the Vicinity
Local startups Foreign firms
29
DUISBURG IS MAINLY STRUGGLING WITH LOW RATINGS IN
IMAGE AND QUALITY OF LIFE Of all 20 Regions,
Duisburg Ranks Last in Access to Qualified
Employees
Question "How well does your current location
meet your requirements compared to other
cities/regions in Germany ?"(1)
Not at all
Very well
Not at all
Very well
n10
(1) Evaluation is the average of 1Very well,
2Well, 3So/so, 4Not well, 5Not at all.
Transfered to a scale of 0-100 Source Survey
with 8,989 Internet/E-Commerce startups, analysis
of 1,178 valid responses
Evaluation This regional cluster only For
comparison Average for Germany
30
MAINLY SERVICE COMPANIES LOCATE IN DUISBURGThe
Region is Home to Multimedia Firms, ISPs and
Integrators as Well as a Smaller Number of
E-Commerce and Software Companies
Distribution by business model(1)
Share of total number of startups by business
model
Avg 1.4
Nav.Information
Nav.Information
B2C-Transaction
B2C-Transaction
B2B-Transaction
B2B-Transaction
Multimedia
Multimedia
ISPs
ISPs
Integrators
Integrators
Specialized ervice providers
Specialized service providers
Software
Software
S201
Infrastructure
Infrastructure
Number of active startups
Concentration factor
(1) Projection based on estimated identification
rates by business model for illustration
purposes only Source Identification of 9,000
Internet/E-Commerce startups in Germany
31
CLUSTER REGION DARMSTADTProfile
  • Darmstadt's startup community reflects both the
    university's influence and the surrounding's
    importance
  • About 160 startups in total 60 located in the
    surroundings and 40 in the city itself
  • As with Bonn and Karlsruhe, the strong
    association with research and institutes shows in
    a higher concentration of software companies and
    integrators
  • The high share of companies located in the
    environs leads to a below average number of 9.7
    permanent employees (versus an average of 10.5)
  • Besides its proximity to Frankfurt as a finance
    center, Darmstadt is also home to local VC firms
  • 2 offices are located in Darmstadt itself, one in
    Griesheim and another in Bensheim
  • More than 5 of startups were financed by VC
    firms
  • Founders are mostly confident with Darmstadt as
    their company's location
  • Access to office space, local salary levels and
    proximity to strategic partners are rated by
    founders as above average
  • Despite the local university, access to talent is
    not rated above average reasons may be the high
    share of companies located in the environs and
    the city's image
  • Clear disadvantages are seen in the less
    important locational factors proximity to
    investors, regional support schemes and
    technology centers

32
DARMSTADT IS LOCATED SOUTH OF FRANKFURT AND HOME
TO A TECHNICAL UNIVERSITY
Local startups Foreign firms
33
DESPITE THE TECHNICAL UNIVERSITY DARMSTADT IS
ONLY RATED AVERAGE IN ACCESS TO
EMPLOYEESProblems in Retaining Talent Due to Low
Image?
Question "How well does your current location
meet your requirements compared to other
cities/regions in Germany ?"(1)
Not at all
Very well
Not at all
Very well
n14
(1) Evaluation is the average of 1Very well,
2Well, 3So/so, 4Not well, 5Not at all.
Transfered to a scale of 0-100 Source Survey
with 8,989 Internet/E-Commerce startups, analysis
of 1,178 valid responses
Evaluation This regional cluster only For
comparison Average for Germany
34
DARMSTADT CAN BE PROFILED AS A TECHNOLOGY-ORIENTED
CLUSTER REGIONHigh Rates of Software Companies
and Integrators
Distribution by business model(1)
Share of total number of startups by business
model
Avg 1.1
Nav.Information
Nav.Information
B2C-Transaction
B2C-Transaction
B2B-Transaction
B2B-Transaction
Multimedia
Multimedia
ISPs
ISPs
Integrators
Integrators
Specialized ervice providers
Specialized service providers
Software
Software
S164
Infrastructure
Infrastructure
Number of active startups
Concentration factor
(1) Projection based on estimated identification
rates by business model for illustration
purposes only Source Identification of 9,000
Internet/E-Commerce startups in Germany
35
CLUSTER REGION BREMENProfile
  • So far, Bremen was not able to compensate its
    locational disadvantage by promoting an active
    startup community
  • In total about 180 startups of these 70 in the
    city of Bremen itself
  • Bremerhaven with additional 20-30 startups -
    significantly smaller than Bremen
  • Strong emphasis on companies providing basic
    Internet services only about 20 other software
    and E-Commerce companies (after projecting total
    numbers)
  • With 11.4 permanent employees, startups in Bremen
    are somewhat bigger than the German average of
    10.5
  • Chances to secure financing with local VCs are
    small
  • Bremen with 2 offices, Bremerhaven with only 1 VC
    office
  • Of the 100 startups identified, only 3 did
    receive funding by VCs
  • Founder's evaluations of "proximity to investors"
    is clearly below average
  • Internet startups are aware of advantages and
    disadvantages of Bremen as a location
  • Availability of office space and salary levels
    are clear advantages
  • Image of the region, local market potential and
    access to talent are disadvantages
  • The geographic location also shows lower ratings
    in proximity to strategic partners, investors and
    suppliers

36
THE CITY OF BREMEN AND ENVIRONS ARE CONSIDERED AS
A CLUSTER REGION, NOT THE FEDERAL STATE'S AREA
Local startups Foreign firms
37
BREMEN WITH LOW PRICES AND GOOD AVAILABILITY OF
OFFICE SPACE FOR STARTUPSKey Problem Area
Limited Market Potential Rank 20 Jointly with
Augsburg
Question "How well does your current location
meet your requirements compared to other
cities/regions in Germany ?"(1)
Not at all
Very well
Not at all
Very well
n14
(1) Evaluation is the average of 1Very well,
2Well, 3So/so, 4Not well, 5Not at all.
Transfered to a scale of 0-100 Source Survey
with 8,989 Internet/E-Commerce startups, analysis
of 1,178 valid responses
Evaluation This regional cluster only For
comparison Average for Germany
38
STARTUP COMMUNITY IN BREMEN IS DOMINATED BY ISPs
AND MULTIMEDIA FIRMS
Distribution by business model(1)
Share of total number of startups by business
model
Avg 1.2
Nav.Information
Nav.Information
B2C-Transaction
B2C-Transaction
B2B-Transaction
B2B-Transaction
Multimedia
Multimedia
ISPs
ISPs
Integrators
Integrators
Specialized ervice providers
Specialized service providers
Software
Software
S175
Infrastructure
Infrastructure
Number of active startups
Concentration factor
(1) Projection based on estimated identification
rates by business model for illustration
purposes only Source Identification of 9,000
Internet/E-Commerce startups in Germany
39
CLUSTER REGION AUGSBURGProfile
  • Augsburg is located within commuting distance of
    Munich about 30 minutes by car or train
  • About 160 startups of these two thirds located
    in the city itself
  • Service and E-Commerce are the main emphasis,
    besides some software companies
  • Startups are clearly smaller than average 6.9
    employees compared to 10.5
  • Presumably teams with high-growth business models
    have moved to Munich or were drawn there by VC
    firms
  • Besides the opportunities in nearby Munich,
    Augsburg has a small, local VC community
  • 6 VC offices were found
  • Only about 5 of startups have received financing
    by VCs compared to more than 15 in Munich
  • Augsburg founders rate their location
    supposedly in comparison to neighbouring Munich
    as below average along most important dimensions
  • Especially important Image of the region and
    local market potential are ranked low
  • Only proximity to strategic partners (in Munich?)
    and availability of office space are seen as
    advantages

40
AUGSBURG IS LOCATED WITHIN COMMUTING DISTANCE OF
MUNICH ABOUT 30 MINUTES BY CAR OR TRAIN
Local startups Foreign firms
41
AUGSBURG STARTUP FOUNDERS RANK THEIR REGION AND
ITS IMAGE BELOW AVERAGE IN MOST DIMENSIONSDirect
Comparison with Neighbouring Munich Leading to
Low Evaluations?
Question "How well does your current location
meet your requirements compared to other
cities/regions in Germany ?"(1)
Not at all
Very well
Not at all
Very well
n15
(1) Evaluation is the average of 1Very well,
2Well, 3So/so, 4Not well, 5Not at all.
Transfered to a scale of 0-100 Source Survey
with 8,989 Internet/E-Commerce startups, analysis
of 1,178 valid responses
Evaluation This regional cluster only For
comparison Average for Germany
42
AUGSBURG WITH STRENGTH IN E-COMMERCE AND
MULTIMEDIAPeak in Infrastructure Caused by Only
Few Companies
Distribution by business model(1)
Share of total number of startups by business
model
Avg 1.1
Nav.Information
Nav.Information
B2C-Transaction
B2C-Transaction
B2B-Transaction
B2B-Transaction
Multimedia
Multimedia
ISPs
ISPs
Integrators
Integrators
Specialized ervice providers
Specialized service providers
Software
Software
S160
Infrastructure
Infrastructure
Number of active startups
Concentration factor
(1) Projection based on estimated identification
rates by business model for illustration
purposes only Source Identification of 9,000
Internet/E-Commerce startups in Germany
Write a Comment
User Comments (0)
About PowerShow.com