HOW STARTUPS USE INNOVATION TO WIN THE WAR FOR TALENT

Abstract

Startups often struggle to attract top talent because they lack the stability and brand recognition of established companies. However, they can improve their chances by effectively communicating their potential for growth and innovation. In this study, we examine how startups can use clear messaging about their product innovation and future success to appeal to job seekers. We surveyed business students who evaluated startups based on descriptions of their growth potential and product innovativeness. Our findings show that startups are considered more attractive employers when they clearly communicate their plans for growth and highlight the uniqueness of their products. Additionally, job seekers are more likely to be interested when they perceive a startup’s product as truly innovative. This means that entrepreneurs looking to attract talent should focus on presenting their company’s vision and product innovation in a way that is both clear and convincing.