Critical characteristics of Latin America unicorn companies

Jose Raul Gadala-Maria

Master's thesis

Common Traits of Unicorn Companies in Latin America

Abstract:

The amount of companies reaching a $1B valuations, unicorn status, has been growing constantly for the last few years. This has been a global tendency. In this research, we aimed to analyze high-growth companies from the Latin America region in search of common traits. We evaluate 11 privately held companies backed by venture capital firms with valuations of $1B or more, from the Latin America region. By creating an overview of the market, the company history, founders‘ history, business model, and financing, between other aspects, we compared the findings and establish common traits found in our sample group. We have found similarities in founders‘ profiles, market conditions, and financing tendencies. From an entrepreneurial perspective, this study has created a better description of the main characteristics of high-growth companies in Latin America to provide entrepreneurs a better understanding of each company‘s conditions, that in order might represent the entrepreneurial environment in Latin America.

Abstract:

The amount of companies reaching a $1B valuations, unicorn status, has been growing constantly for the last few years. This has been a global tendency. In this research, we aimed to analyze high-growth companies from the Latin America region in search of common traits. We evaluate 11 privately held companies backed by venture capital firms with valuations of $1B or more, from the Latin America region. By creating an overview of the market, the company history, founders‘ history, business model, and financing, between other aspects, we compared the findings and establish common traits found in our sample group. We have found similarities in founders‘ profiles, market conditions, and financing tendencies. From an entrepreneurial perspective, this study has created a better description of the main characteristics of high-growth companies in Latin America to provide entrepreneurs a better understanding of each company‘s conditions, that in order might represent the entrepreneurial environment in Latin America.

Keywords

Latin America, Venture Capital, High-growth companies, Entrepreneurship, Unicorns, Founders

Keywords

Latin America, Entrepreneurship, Venture Capital, Start-ups, Unicorns, Founders

Language used: English

Date on which the thesis was submitted / produced: 19. 11. 2019

Thesis defence

• Date of defence: 4. 6. 2020
• Supervisor: Michal Andera
• Reader: Marko Orel

Vysoká škola ekonomická v Praze

Master programme / field:
Ekonomika a management / International Management