Management priorities of digital health service start-ups in California

Abstract

Digitalisation has revolutionised health service delivery, which has provided global business opportunities for start-ups that specialise in digital innovations. Such start-ups challenge the traditional healthcare service industry by introducing radical and sustainable innovations in the agile product development cycle and the creative acquisition of resources within their networks. Starting up is the most critical period in establishing a new digital health service company. However, little is known about the critical early growth processes of newly established digital healthcare service businesses. The aim of this study is to clarify the experience-based priorities of managers of digital health service businesses in California during the critical start-up stage. Based on this multiple case study, the qualitative and contextual characteristics of growth in California-based digital health service start-ups were clarified, and a framework of management priorities was formed. Network management is a high priority in digital service start-ups that are focused on bringing radical innovations to the complex and hard-to-access market where fundraising is an integral part of success.