TASK 6 MB4050 TECHNOLOGY-BASED BUSINESS Name : Devin Hoesen NIM : 13510081 Business Incubator vs Business Accelerator Although looks

the same and often be used interchangeably by the common people, the term business incubator and business accelerator have a slightly different meaning. Business incubator, as the name implies, acts like incubator to a newborn baby. Incubator provides warmth and comfort and thus it is a place where the baby feels safe. Companies which act as business incubator provide some of business resources and services to help a startup company to survive on its own feet. For examples, they give the company business space, access to professional and financing networks, and business skills training. Meanwhile, the business accelerators help the survived company to maintain its sustainable growth. For example, they help the company to develop institutional strength and vision and strategy for the future. What make business incubator and business accelerator be understood as the same thing is they do overlap in some things. For example, they both give guidance and training for the company but in a slightly different way and in different stage of its business life cycle. After the business incubation process is over, the need of guidance of startup company is far from over. In this period, it is in the phase where it needs to change its paradigm from thinking day-to-day business operation to thinking long-term strategy plan to develop its business further. Thats when it needs business accelerator. The business accelerator is divided itno two main categories, seed accelerator and secondstage accelerator. Seed accelerator has similarities to incubator. The different is seed accelerator sees the startup phase as a short phase usually between 2 4 months. Seed accelerator usually focuses on business model innovation. In contrast to seed accelerator and incubator, second-stage accelerator gives advice on strategic planning and the way to deal with organizational and operational difficulties. Second-stage acceleration program usually lasts for 3 6 months. For me, business incubator and business accelerator is a good way to help startup company to survive. These programs can be carried out by government or well-established companies. The challenge is of course they dont want their money wasted for nothing, so the company must develop a right and promising strategic business plan, yet feasible, at least for it to survive. By these programs, a lot of startup company from different enterpreneur will grow up and make some revenue. Lots of idea and creativity can be transformed to enterpreneurship business and can be maintain to have it survives. Moreover, it can develop more idea and further creativity. In the end, these programs will help reducing the unemployment rate so (at least) the government must support them. Source: http://www.impulsaxl.com/business-accelerator-vs-business-incubator.html