Are Startups Really About Innovation Or Just Copying Global Models

Are startups indeed about Innovation, or are many of them simply tweaking and repackaging ideas borrowed from elsewhere? They are often labelled as copycats replicating ideas and processes from their global counterparts. But is that bad? Or is there more to the story? Are Indian startups and their global counterparts a tale of two cities or two sides of the same coin?

Why do startups shine so bright?

Startups are often seen as the engines of Innovation, buzzing with fresh ideas and revolutionary solutions. They are celebrated for their ability to disrupt industries. Think CRED, Zomato, Nykaa, PhonePe, and many more. They all started as bold concepts that took the country by storm and quickly became a global phenomenon.

Startups aren't just random entrepreneurs thinking of something and asking for funds to fuel their dreams. They are innovators who want to address problems in new, creative ways. They are leaders who have envisioned change and want to participate in the process. Innovation for them isn't about inventing something from scratch but solving real-world challenges with fresh perspectives.

Amazing, right? How do these disruptors make us think, "Why didn't I think of that?"

Copying? Nah, borrowing done right

It is true that not all startups are innovators or have created something new fresh out of a magician's hat. Many succeed by borrowing ideas and taking inspiration from their global contemporaries. Still, the catch to look out for is that they borrow inspiration and ideas, adapt them to suit local markets, and renovate them to build strategies that help them make a mark.

Take Ola, the Indian ride-hailing giant. It's no secret that its model resembles Uber's. But Ola didn't just copy-paste Uber's blueprint. It localized the concept, offering features like cash payments and auto-rickshaw rides to cater to Indian consumers. The result? This mix of familiarity and customization turned it into a household name.

Should copying be labelled as bad?

If startups are only borrowing and rebuilding ideas to suit the Indian markets, then why does the "copying" concept have a bad reputation?

The word "copying" sounds uninspiring, and most people imagine entrepreneurs as scientists experimenting underground and having a lightbulb moment that changes the world. But the reality is that not every business needs to reinvent the wheel.

More than anything new, we consumers want solutions to our existing problems. That list is lengthy, so sometimes, we are more thankful when startups tweak the wheel or paint it in a different colour and serve us. That is all we need.

It is necessary that copying isn't seen as simply copying; it is more about getting inspired or borrowing ideas and refining them to make them work. Facebook wasn't the first social network, and Google wasn't the first search engine. Their founders refined existing ideas so well that they outshone the pioneers and became the names people connect with.

Where's the difference, then?

Copying global models is not a shortcut but a strategic move. By adapting ideas to suit local demand, startups make solutions more accessible and relevant.

Did Byju's (inspired by Coursera) or Swiggy's (inspired by Uber Eats) only copy? No, their attempt to localize and tailor their offerings to the local demands made all the difference. Whether designing payment systems for cash-driven economies or tweaking product offerings to match cultural preferences, these companies tried to address real needs.

In fact, this kind of adaptation created an innovation of its own; as such, businesses refined and enhanced the original idea for better impact.

Copying vs. Innovation - who wins?

Startups don't have to be about Innovation or copying. Finding the sweet spot between the two will help achieve the balance needed for success.

Borrowing ideas can be the foundation for bigger, better solutions, but the trick is to research and innovate so that your solutions address the problems of your target market. Startups often stand on the shoulders of giants to see further, but it is essential you keep looking. If your product or service helps make life easier, it doesn't matter whether you are original or copied from elsewhere. The magic lies in appropriate execution.

Recognizing what works elsewhere and shaping it to fit a new audience takes talent. Therefore, knowing how to adapt is a skill, and if entrepreneurs have it in them to adapt right, they can fit in right. Small changes make a big impact, so startups make significant impacts with their adaptability efforts. Think of startups as innovators who focus on making healthcare affordable, logistics better, or services more streamlined. These might not grab headlines, but they are solving real problems.

So, what does this mean for aspiring entrepreneurs?

If you dream of starting a business, don't let the pressure of being "original" hold you back. Why? Because you must focus on only one thing - addressing real needs or finding solutions for existing problems; everything else can be tweaked.

Here's something for you:

Identify a problem: Whether global or local, find a pain point that matters to people.

Borrow, but build: It's okay to draw inspiration but make it your own. Add value where it's needed.

Stay flexible: Markets evolve, and so should your ideas. Keep improving, even if it means going back to the drawing board. Don't stop being an entrepreneur.

Final thoughts

Startups don't have to be that ONE thing. They can be wildly innovative or brilliant copycats; honestly, that doesn't matter. What matters is the value they create, the problems they solve, and the lives they impact. This is where their aim should be focused.

So, the next time you hail a cab, stream a movie or order food online, remember: it doesn't matter whether that startup invented or adapted the concept. It's making your life easier, one click at a time.