International Entrepreneurship in the Offshore Renewable Energy Industry

Moen

Madsen

2013

IJESB

This paper addresses international activities of young companies in the emerging marine energy industry. We build our study on interviews in eight companies combined with scientific reports and publications. The main challenges for the companies are related to financing and technology development. Our findings show that the companies may be divided in three groups: a) three technology and funding driven international ventures, b) one market driven international venture and c) four companies with limited international involvement. The short timespan between establishment and first major international activity for acquiring funding or technology competence is a distinct characteristic of the firms in the first two groups. The last group with no or limited international activity reveals an alternative development path. Our study gives insight in significant firm level differences with regard to international involvement in the pre-commercial phase of development and discusses the implications for researchers, managers and public policy.

Section: Technology Development and Technology Partnershipsmentioning

confidence: 99%

Section: The Marine Energy Industrymentioning

confidence: 99%

New ventures in an emerging industry: access to and use of international resources

Moen

Madsen

2013

IJESB

“…In 2013, around 150-200 firms were developing marine energy technologies globally and earlier studies have found the majority of these to be small, young and highly international firms (Bjørgum, Moen, & Madsen, 2013;Løvdal & Aspelund, 2011) with limited financing possibilities from the private sector (Leete, Xu, & Wheeler, 2013). These financial limitations were strengthened by the financial crisis of 2008 and a slower progress in the industry than expected, which specifically made VC funding more difficult to receive.…”

Section: Frame Of Reference the Marine Energy Industry Contextmentioning

confidence: 99%

The funding of new technology firms in a pre-commercial industry – the role of smart capital

Technology Analysis & Strategic Management

Sørheim

2014

In this article, we focus on how investors add value, in addition to finances, to resource-constrained young technology companies in a pre-commercial and capital-intensive industry. Based on a review of the entrepreneurial finance literature, we group investors' value-added contributions into four categories: 'Business development', 'Technology development', 'Investor's outreach' and 'Legitimacy'.We build our study on six case studies of firms in the pre-commercial and emerging marine energy industry. Our case companies have received investments from business angels (BAs), venture capitalists (VCs) and larger corporations (CVCs). We observed that the contributions from the investors clearly differ and that CVC investors appear to be especially important as their involvement help increase young technology firms' credibility, which could be a crucial factor in pre-commercial and emerging industries. Overall, by engaging 'smart capital', a company can move from a situation of true uncertainty to one of manageable risk.

“…Currently, the wave-and-tidal energy industry, and its special knowhow, is located in particular hot spots around the world, such as in countries around the North Sea. Earlier studies have found the industry to be characterised by small, young and highly international firms (Løvdal and Aspelund, 2011;Bjørgum et al, 2013). Such studies have also found that this industry faces a particular set of complicating factors.…”

Section: Introductionmentioning

confidence: 99%

“…The fact that many of the firms in the industry are small, lack manufacturing resources and face complex technology development processes (Løvdal and Aspelund, 2011;MacGillivray et al, 2013) increases in-house production costs to a level where market solutions seem preferable. In addition, the industry's low transaction frequencies suggest that arms-length relationships (i.e., 'buy with weak links') may be the preferred solution.…”

Section: Supply Chain Configuration In the Wave-and-tidal Energy Indumentioning

confidence: 99%

Configuration of supply chains in emerging industries: a multiple-case study in the wave-and-tidal energy industry

Netland

2017

IJMTM

Abstract:Companies in emerging industries face particular challenges in configuring effective supply chains. In this paper, we build on transaction cost economics to explore how supply chains can be configured in emerging industries. We focus on two key aspects of supply chain configuration: the make-or-buy decision and the strength of the ties between a focal firm and its suppliers. We utilise a multiple-case study methodology, including seven start-up companies in the emerging wave-and-tidal energy industry. We propose three models for supply chain configuration in emerging industries -'the market model', 'the ally model' and 'the maker model' -and discuss the circumstances in which each model is suitable.