Check out the recent responses to questions on Startups:
Good question. Firstly, one cannot say “Flipkart was just a copy of Amazon” since every eCommerce venture is similar , but unique.
eCommerce ventures are all similar since they all act as online market aggregators and sell stuff to people who want them. But each eCommerce venture, is distinct in the market it targets, product mix, supply chain and its execution.
There are different reasons why startups succeed, and some of these reasons could apply to Flipkart too:
- Early mover – While Amazon has been a “global” eCommerce leader, they were focused on American and European market till 2011+ after which they entered India in a big way. Flipkart enjoyed the early-mover advantage in India, where it established a lead
- Branding – Bansals enjoyed a “made in India” branding till recently
- Logistics and Supply chain – Flipkart had a lead in understanding the intricacies of Indian logistics and supply chain
Whether Flipkart continue to hold the lead while Amazon spends billions of dollars in emerging markets is anyone’s guess
A business or startup incubator is a program managed by corporations, educational institutions or government agencies that provide an environment for startups to develop by providing services such as management training and office space. Startup incubators are usually non-profit organizations. The term “incubator” or “incubation center” are interchangeably used for a collaborative environment designed to help new startups succeed.
The term takes off from biological “incubators” where young ones are hatched and nurtured. Universities, scientific, research, governmental agencies and even public corporations around the world manage incubation centers to nurture startups.
Incubators are generally established in or around startup-hubs, in geographies where startup ecosystem exists, or in locations where governments or businesses want to promote entrepreneurship. We generally think of Silicon Valley in America or Bangalore in India as an ideal location for incubators but they are more widespread. (Tip: google on your city or state with the term “incubator in,” and you are bound to be surprised!)
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