Germanys future = 
Start-Ups + Mittelstand
understanding! 
Mittelstand!
“Aufbruchstimmung” 
Aufbruchsstimmung nach WW2 
“Wirtschaftswunder”
In 25% of the most important industry sectors worldwide, 
German companies occupy leadership positions 
60 
45 
30 
15 
0 
Source: Fortune "Global Top 500" 
# of sectors # of sectors with 
German companies 
amongst top3
Revenues 
Employees 
Export 
revenue 
share 
Profile of a typical German Mittelstand 
EUR 92,5m 
680 
world market leader 
58%
Mittelstand: 40% higher R&D spendings 
then the most R&D intensive companies 
Technology leadership 
R&D expenditures in % of revenues 
3,6% 
5,0% 
Mid-sized world 
market leaders 
1,250 most R&D 
intensive companies 
STRATEGY 
Source: J. Meffert/P. Radtke/H. Klein/J. Freiling/T. Hutzschenreuter, Unternehmertum Deutschland, Düsseldorf, McKinsey & Company 2005; sample of 600 medium-sized 
companies 
Source: DTI, The R&D Scoreboard 2006, Commentary and Analysis, Volume 1 and 2, London, 2007, p. 60. 
© 2008 Prof. Dr. Bernd Venohr 21 
Introduction Economy Exports The “German Mittelstand” Innovative SMEs 
Spending on R&D rose by around 71% between 
2004 and 2010 - while large companies only 
increased their spendings by +19%
Mittelstand: current innovation is “evolutionary,” 
and not “disruptive”
DIGITALE! 
AGENDA! 
= STARTUP! 
AGENDA!
everything that can be 
digitalized! 
! 
will be digitalized! 
!
Concrete: What is hindering startups the most 
and where can “Mittelstand” Companies help? 
Availability of funding 
Regulation 
Lack of qualified staff 
Lack of customer adoption 
Cooperation with larger companies/corporations 
business adminstration skills 
market know-how 
partnership and ccoperation with academia 
0 % 10 % 20 % 30 % 40 % 
Source: ZWE Studie - High-Tech Gründungen in Deutschland, Hemmnisse junger High-Tech-Unternehmer, Sept. 2010
Bringing together Mittelstand and Start-Ups 
R&D and 
production 
Sales and 
business 
development 
Innovation 
• Production and process know-how transfer 
• Joint use of special equipment 
• Deployment of machineries and infrastructure 
• Use of individualized and standard-components 
• (New) Technology know-how transfer 
• Transfer of specific market know-how 
• Complement product and service portfolio 
• Better client-relations trough existing larger partners 
• => Unfair advantage over international competitors 
• Securing the innovation-level trough cooperations or 
strategic investments and partnerships 
• Mew use cased for existing products / technologies 
• Compliment and extent existing product offerings 
• Acquisition of (high-)tech Start-Ups
starting a dialogue - losen the tie, drop by…
A perfect platform for this: Universities 
fundamental 
research 
international talent 
risk takers 
innovators 
“think different” 
decades of experience 
influence, network, knowledge
getting involved - no isolated perspective - not being 
scared of the “new” - exchange ideas, foster 
entrepreneurship and education
taking ownership 
and share risk (= investing)
3 Reasons this 
works 
1.“Made in Germany” 
2.Long-term thinking 
3.Leading innovation
Thank 
you
Benjamin Rohé 
+49 173 975 1021 
br @ angelfund.vc

Start-Ups + Mittelstand = Success!

  • 1.
    Germanys future = Start-Ups + Mittelstand
  • 2.
  • 3.
  • 4.
    In 25% ofthe most important industry sectors worldwide, German companies occupy leadership positions 60 45 30 15 0 Source: Fortune "Global Top 500" # of sectors # of sectors with German companies amongst top3
  • 5.
    Revenues Employees Export revenue share Profile of a typical German Mittelstand EUR 92,5m 680 world market leader 58%
  • 6.
    Mittelstand: 40% higherR&D spendings then the most R&D intensive companies Technology leadership R&D expenditures in % of revenues 3,6% 5,0% Mid-sized world market leaders 1,250 most R&D intensive companies STRATEGY Source: J. Meffert/P. Radtke/H. Klein/J. Freiling/T. Hutzschenreuter, Unternehmertum Deutschland, Düsseldorf, McKinsey & Company 2005; sample of 600 medium-sized companies Source: DTI, The R&D Scoreboard 2006, Commentary and Analysis, Volume 1 and 2, London, 2007, p. 60. © 2008 Prof. Dr. Bernd Venohr 21 Introduction Economy Exports The “German Mittelstand” Innovative SMEs Spending on R&D rose by around 71% between 2004 and 2010 - while large companies only increased their spendings by +19%
  • 7.
    Mittelstand: current innovationis “evolutionary,” and not “disruptive”
  • 8.
    DIGITALE! AGENDA! =STARTUP! AGENDA!
  • 12.
    everything that canbe digitalized! ! will be digitalized! !
  • 13.
    Concrete: What ishindering startups the most and where can “Mittelstand” Companies help? Availability of funding Regulation Lack of qualified staff Lack of customer adoption Cooperation with larger companies/corporations business adminstration skills market know-how partnership and ccoperation with academia 0 % 10 % 20 % 30 % 40 % Source: ZWE Studie - High-Tech Gründungen in Deutschland, Hemmnisse junger High-Tech-Unternehmer, Sept. 2010
  • 14.
    Bringing together Mittelstandand Start-Ups R&D and production Sales and business development Innovation • Production and process know-how transfer • Joint use of special equipment • Deployment of machineries and infrastructure • Use of individualized and standard-components • (New) Technology know-how transfer • Transfer of specific market know-how • Complement product and service portfolio • Better client-relations trough existing larger partners • => Unfair advantage over international competitors • Securing the innovation-level trough cooperations or strategic investments and partnerships • Mew use cased for existing products / technologies • Compliment and extent existing product offerings • Acquisition of (high-)tech Start-Ups
  • 15.
    starting a dialogue- losen the tie, drop by…
  • 16.
    A perfect platformfor this: Universities fundamental research international talent risk takers innovators “think different” decades of experience influence, network, knowledge
  • 17.
    getting involved -no isolated perspective - not being scared of the “new” - exchange ideas, foster entrepreneurship and education
  • 18.
    taking ownership andshare risk (= investing)
  • 19.
    3 Reasons this works 1.“Made in Germany” 2.Long-term thinking 3.Leading innovation
  • 20.
  • 21.
    Benjamin Rohé +49173 975 1021 br @ angelfund.vc