Survey: Startups as Confident as Before the Pandemic
German startups remain optimistic about their future
A survey conducted by the Chair of Business Psychology and Leadership at HHL Leipzig Graduate School of Management around New Year’s 2021 has found German startups to be as optimistic about the future as they were before the pandemic. Particularly founders in the fields of medicine, healthcare, biotechnology and IT/technology affirm that they are optimistic.
While the business climate index dropped to 31.8 in 2019 during the first year of the crisis according to the German Startup Monitor, the survey has now determined a value of 50.6, which is almost the same level as in 2019 (52.9). The index provides information on the companies’ self-assessment in the current situation and their prospects for development. These latest figures point towards a strong recovery towards pre-crisis levels.
Startups are optimistic about the future
“Our observations show that the young companies’ focus on the common good is a major driving force which provides direction and acceptance for their actions, especially during the crisis,” says study director Prof. Dr. Timo Meynhardt. “These startups are boldly creating the future, which is becoming increasingly attractive to investors as well.”
Sustainability, responsibility and public value define the economy
Timo Meynhardt considers sustainability, responsibility and public value to be the topics defining the economy in the long term. He believes the pandemic is acting as a catalyst to reinforce this trend.
Timo Meynhardt holds the Dr. Arend Oetker Chair of Business Psychology and Leadership at HHL Leipzig Graduate School of Management and researches public value management, among other topics. The chair’s public value concept is intended to provide scientifically sound answers to central questions about how systemically relevant and economical it is to conduct business in a way that is oriented towards the common good.
Since 2016, the chair has regularly organized a competition for startups focusing on the common good in collaboration with the auditing firm EY and, more recently, with the City of Leipzig and ZEISS. Due to coronavirus pandemic, the Public Value Award had to be suspended in 2020 and will enter its fifth round this year.
In the future, the competition will be sponsored by the non-profit association Forum Gemeinwohl e.V., which considers itself to be a source of impetus and a dialogue partner for the scientifically oriented discussion of issues relating to the common good.
Public Value Award open for submission
Young entrepreneurs can submit their business ideas for the 2021 edition of the Public Value Award starting in April 2021. A panel of renowned judges will evaluate the public value contribution of these business models.
In addition to the economic potential of the ideas, the competition focuses on a holistic evaluation, such as the innovative strength to solve social issues, the effect on social cohesion, the contribution to increasing the quality of life or the moral-ethical behavior.