Determinants of Start-Up Survival in Emerging Markets

Abstract

This study investigates the determinants of start-up survival in emerging markets, adopting a mixed-methods approach that integrates econometric modeling with qualitative insights from entrepreneurs and ecosystem actors. Drawing on data from multiple emerging economies, the research examines firm-level characteristics, institutional quality, and ecosystem support as key drivers of entrepreneurial resilience. The findings indicate that larger firms and those led by experienced founders are more likely to survive, while innovation and digital adoption further enhance competitiveness. Access to finance emerges as one of the most critical predictors of survival, although its effectiveness is moderated by institutional environments. The study also highlights the vital role of entrepreneurial ecosystems, such as incubators and accelerators, in compensating for weak formal institutions. Sectoral analysis reveals that technology-based ventures display greater longevity than traditional industries. Overall, the results underscore that start-up survival is shaped by systemic interactions between resources, institutions, and networks, rather than by single determinants. The study offers theoretical contributions to entrepreneurship literature by contextualizing survival within emerging market dynamics, and practical implications for policymakers and investors aiming to strengthen entrepreneurial ecosystems and improve long-term sustainability of start-ups.