Unconventional start-ups encounter distinct challenges in professionalizing their operations compared to traditional ventures. Our project reveals that while venture capitalists (VCs) often advocate for standardization, many start-ups diverge from conventional practices, prioritizing external engagement and market positioning.

Key findings suggest that ventures positioned in unconventional markets focus on developing external interfaces to nurture and popularize their emerging niches. In contrast, companies with more conventional positioning tend to emphasize internal controls to enhance execution against established competitors.

Management insight: Professionalization is not a one-size-fits-all process; rather, it is influenced by market context and the specific pressures faced by each start-up. However, even as unconventional start-ups embrace their unique professionalization paths, they should also ensure that their internal systems development is sufficient to handle the challenges that scaling will invariantly bring.