Key Challenges in Early-Stage Software Startups

Software startups are newly created companies designed to grow fast. The uncertainty of new markets and development of cutting-edge technologies pose challenges different from those faced by more mature companies. In this study, we focus on exploring the key challenges that early-stage software startups have to cope with from idea conceptualization to the first time to market. To investigate the key challenges, we used a mixed-method research approach which includes both a large-scale survey of 5389 responses and an in-depth multiple-case study. The initial findings reveal that thriving in technology uncertainty and acquiring the first paying customer are among the top challenges, perceived and experienced by early-stage software startups. Our study implies deeper issues that early-stage software startups need to address effectively in validating the problem-solution fit.

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