Page - 280 - in Digital Entrepreneurship - Impact on Business and Society

3.1 ExpertOpinion We interviewedDr. Diala Kabbara, a Lebanese emigrant whoworks in Italy as a consultant for some local and Middle-Eastern companies and is a professor of Entrepreneurship inUniversity of Pavia, Italy. Dr. Kabbara shared her insight and expert opinion via Skype, during the course of an hour-long interview. According toDr.Diala., a primary driver to opening anyonline store is creating a high-value proposition that is customer-oriented targets to solve problems that customers face and eases their pain points. 1. Role of the “3F”s: Dr. Diala highlights the opportunities that digital entrepreneurs have through cap- italizingon the“3F”s: family, friends, and funds.Familyand friendsare considered as social and/or human capital, and funding includes raising money through crowdfunding, which is exposing one’s innovative idea to the public and getting supportedfinancially. Another way to get funded is through creating relationships with accelerators and incubators. It is crucial for digital entrepreneurs to have capital for their start-ups.Dr.Diala speaks about the importance of financial markets in digital entrepreneurship and introduces the term financial “bootstrapping,” which refers to, “launching new ventureswithmodest personal funds” (Winborg andLandström2001, p. 235), and satisfying the need for resources without depending on debt or external finances (Smith 2009). Financial bootstrapping techniques are essential for business start-ups, particularly tech-based ones, and include making deals with customers, borrowing from suppliers, low-cost labor, and creating special relationships with individuals and organizations (Smith 2009). A challenge of digital entrepreneurship in developing countries is funding. In developedcountries, youmayhave a lot of grants to fundbusinesses.Here,wecan refer to the role of the state. The state can either be a barrier to digital entrepreneurshipby imposingheavyregulationsandbureaucracy,orasupporter,by providing financial support. The government could financially support a specific ageor gender group.For instance, in developedcountries, the state canhold events and competitions for a specific age or gender group (e.g., female entrepreneurs under the age of 30), where a selected applicant gets funded by the government. 2. Customer Expectations: Customers in developing countries are accustomed to purchasing items in physical stores, having the experience of trying things on, and using their senses. Virtual purchasing is still a somewhat foreign concept, contrary to that prevalent in developed countries. This could be due to cultural differences nested therein. Developed countries tend to value “the hustle and the grind” and can’t afford to Challenges andOpportunities for Digital Entrepreneurship… 289