In the tech world, the word "startup" has long become synonymous with success. Young entrepreneurs dream of building a company that will grow into an international giant, attract millions in investment, and transform an entire industry.

But does every business really need to aspire to that?

According to Helmut Kranzmaier, Senior Advisor for Corporate Innovation at Vali — Entrepreneurship Hub at ESMT Berlin, discussions about economic development often conflate two different concepts — startup and entrepreneurship. And this leads to misplaced expectations.

Startup and entrepreneurship are not the same thing

"We talk a lot about startups, but first and foremost we should be talking about entrepreneurship," the specialist said in an interview with NEWS.am Tech.

According to Kranzmaier, a startup by its very nature implies scaling. It is an attempt to build a business that can grow rapidly and operate in large markets.

Entrepreneurship, on the other hand, is much broader. An entrepreneur can be the owner of a small shop, a family business, a manufacturing company, or an international corporation with thousands of employees. In all of these cases, the person is creating and developing their own enterprise.

"If you support yourself and your family, if you've built a sustainable business and you're making money from it, you're already a successful entrepreneur."

At the same time, such a business does not have to become a global technology company.

Why the chase for scale isn't for everyone

In recent years, a particular culture has grown up around startups, in which rapid growth is seen as the main measure of success. However, not every entrepreneur wants or needs to build a world‑scale company.

Some build a business that solves local problems, works with a limited client base, and remains profitable for years. This path rarely makes headlines, but it forms the backbone of most of the world's economies.

Kranzmaier emphasises that success cannot be measured solely by the amount of funding raised or international expansion. A stable business that provides its owner with a decent income and creates jobs is also a sign of entrepreneurial success.

What matters more for Armenia

Kranzmaier finds this topic particularly interesting in the context of Armenia. In his view, it is important for the country to develop not only a startup ecosystem in the conventional sense, but also entrepreneurship more broadly.

"For a country like Armenia, it is essential to support entrepreneurship as such," he says.

This means creating conditions for a wide variety of companies to emerge — from small local enterprises to large international players. Some may grow into global tech companies, while others will remain successful regional businesses. Both scenarios are equally important for the economy.

Not everyone needs to build the next tech giant

Contemporary startup culture often creates the impression that an entrepreneur must dream of global market dominance. But in reality, a successful business can take many different forms. Some build a company with thousands of employees and operate worldwide. Others build a small but sustainable business for a specific audience. Some find one major client and successfully develop that partnership for decades.

And all of these people remain entrepreneurs.

"Entrepreneurship can take many different forms," the specialist reminds us.

Perhaps that is the main takeaway: building a successful business does not necessarily mean chasing startup status. Sometimes it is enough to build a company that solves real problems, generates income, and allows a person to do what they consider important.

And that, too, can be considered a success.