Theoretical Definition of a Scale-up

Abstract This chapter draws on the literature to develop our theoretical definition of a scale-up. A critical discussion of previous literature helps distinguish between aspects that are essential or unnecessary for a definition of a scale-up. We then put forward the following five suggestions for a theoretical definition of a scale-up: (1) Scale-ups are in all sectors, not just IT; (2) Scale-ups have relatively high levels of spending on marketing and sales; (3) Scale-ups have low marginal costs of production; (4) Scale-ups are young, but not too young; (5) In defining scale-ups, we start from the set of HGFs. The chapter ends with our own theoretical definition of a scale-up.