Towards a Supply-Demand Model for Incubators Success: A Cases Study in Brazil

This paper draws on previous studies on the technology parks of Minas Gerais State, Brazil. It is based on in-depth research on five incubators and on the evaluation of the generation of self-sustained businesses in the one with the highest number of graduated businessesthe ultimate indicator of an incubators success. The analysis of the supply side success determinants is done in four main supply dimensions: type of sponsoring institutions; physical location relative to a university; incubator type by constituents; and the existence of idle capacity and economic and financial equilibrium. Our research indicates that incubators that have a technological basis and are multi-sector seem to have the highest rates of success. From the demand perspective, our research shows that businesses originated by entrepreneurial innovations that achieved the best performance, in terms of acquiring customers, revenue and survival, were those with the highest level of market orientation.