In a digital era where entrepreneurship is the engine of technological innovation and global markets are more connected than ever, successful entrepreneurs are those who can adapt while staying true to their roots.

At a roundtable event in Hong Kong, held during the Internet Economy Summit, panellists shared their views on how startups can achieve success in today’s innovation-driven and fast-changing market. The theme of the event was Investor Dialogue: Powering Tomorrow’s Entrepreneurial Success.

“The concept of local doesn’t exist anymore; the world today is one marketplace,” said Yossi Vardi, chairman of Israeli investment firm International Technologies.

Innovation and technology areas such as fintech, artificial intelligence, smart cities and medtech are gaining more and more momentum among entrepreneurs. And regional tech hubs like Hong Kong’s Cyberport are creating new ways to support these startups.

“We are going to make it a new industry in the digital economy that can help young people upgrade their digital technology skills, but our biggest problem is how to actually make sure we have enough smart money in order to attract the best entrepreneurs,” said Lee George Lam, chairman of the Hong Kong Cyberport Management Company.

Operated by professional management teams, Cyberport helps startups build their companies and scale up faster, rather than focus on the time-consuming fundraising process.

“We’re evolving now into an investor,” said Lam. “We have set up funds and investment networks.”

Lam said a green channel for pre-revenue digital tech companies should be established on the Hong Kong stock exchange, making one of the biggest capital markets in the world more accessible.

“Entrepreneurs go through various stages of psychological development. And that is something for both entrepreneurs and investors to take into consideration,” said Kersten Hui, vice-chairman of Infinity Equity Management Co.

“Some of the early-stage mistakes entrepreneurs tend to make are often driven by very dynamic situations, especially first-time startups,” he said. “If we can reduce some of these mistakes and offer some input during their psychological development, this will bring both investors and startup companies a higher success rate.”

Startups may have very different expertise, but they are all intended to offer solutions to their customers from the get-go.

“The size of the market or the opportunity to solve the problems of the customers was the No 1 thing on our list when we started Illumio,” said Andrew Rubin, CEO and co-founder of the Silicon Valley-based cybersecurity specialist. “You can collect a group of great people, but you don’t have control over the market.”

“In the cybersecurity space, we focus on segmentation, which has quickly become a multibillion-dollar business just a couple of years ago,” said Rubin. “If you have great people and great technologies, it would be a huge opportunity to build a sustainable, durable and valuable company because the market needed a solution.”

Attracting investors is the next step. “People often forget the No 1 thing on the list for whatever company, especially when it comes to fundraising, is the ability to tell a story,” said Rubin.

Cyberport’s Lam believes this process is usually harder behind the scenes than it may seem from the outside. “As a smart investor, we also need to help our startups understand their shortcomings, particularly their business plan, team and approach,” said Lam. “There is a learning process as well.”

Vardi from International Technologies said: “I don’t think the rules of attracting investment can be generalised — it has to do with the market size, and the opportunity. But it mainly has to do with the decision of the people behind the project.”

Vardi raised the question of whether the amount of money raised by startups at the beginning stage would have a significant effect on their decision-making process later. “Because companies tend to spend a lot at the beginning if you raised too much and you’ll be at the mercy of the funders,” he said.

Rubin from Illumio disagreed, however. “Companies are very much like people and they have DNA. DNA is part of the makeup of who we are. Companies are the same,” he said. “Having raised US$267.5 million in less than five years doesn’t determine how we make decisions on what to spend or what to invest in.”

Rubin believes a startup company’s decision to accelerate growth or ramp up investment does not start with how much money is in its account.

Instead, it begins with its business plan and whether or not it is effective.

He added: “Much like we all have DNA, if the DNA of the company is built around that premise, then it doesn’t matter how much money it has.”

Backing up Rubin’s comment, Hui from Infinity Equity Management cited a study his firm did on the psychological development of entrepreneurs pre- and post-funding.

“People’s DNA doesn’t change because of money,” said Hui. “Entrepreneurs that didn’t grow up in an environment of rich capital would use money in a proper manner. Most entrepreneurs don’t use capital to solve their problem, they always go back to what they grew up with.”

Lam spoke of the need among startup companies for technology directors and mentors.

“Tech companies need good directors — even the best team with the best DNA still needs guidance and oversight,” said Lam. “Mentors will tell startups the dos and don’ts — even the best teams need to be brought up.”

This was echoed by Vardi who said: “Good mentors are more important than investors.”

As the market evolves, it is no longer enough for entrepreneurs to focus only on one particular field and lack knowledge in other areas.

“To be cross-disciplinary is one of the key success factors for entrepreneurs — those who can adapt to new technologies are the winners,” said Hui. “It’s definitely a differentiating factor between winning and losing companies.”

The panel noted that there are now more ways to tackle challenges. In the past, problems gave rise to singular solutions, but now sets of solutions are being created.

“In healthcare, for example, we’ve had a singular path for so many years, but now technology is fundamentally changing that,” said Rubin.

Lam said that Cyberport may have to “refocus on digital technology”. “Even half of the biotech industry now is computing, digital is the new English, and artificial intelligence is the new software,” he said, recognising the increasing weight of innovative technologies in the world’s development.

“We have to fully adopt the regional tech potential, but domain knowledge is also important,” he said.

“The opportunities are many and it’s up to our imagination. The most important thing is to nurture the entrepreneurial spirit with the help of smart money and all the mentors we can bring,” said Lam. “It’s a collective effort — not just government but society at large and the business sector.”

Rubin said: “We are living in a global economy, there’s no more ‘US, Europe, Asia’ … and as an entrepreneur we have the responsibility to remember those things and that we’re all connected. The opportunities should be looked at through that lens.”

“Your mind-set is your biggest weapon,” Hui suggested to entrepreneurs. “So, open your mind and don’t stop learning.”

“I visited all three cities during my two visits to Vietnam last year, and was very impressed with their rapid urban development. Their inclusion in the smart cities network will add to Asean’s vibrancy,” said Lee.

He made the announcement at a dinner he hosted for his Vietnamese counterpart Nguyen Xuan Phuc, who is on a three-day official visit to Singapore ahead of the 32nd Asean Summit this weekend.

The smart cities network, which aims to better connect digital infrastructure and services like e-payments across the region, is Singapore’s flagship initiative as the chair of Asean this year.

The Straits Times understands that the 10 Asean countries have put forward 26 cities to be part of the network.

Singapore is keen to strengthen Asean’s resilience and innovation by developing e-commerce regulation and technology infrastructure, and boosting cyber security in the region. Asean’s digital economy is forecast to hit US$200 billion (S$265 billion) by 2025, according to a report by Temasek and Google last year.

At the dinner, Lee and Phuc toasted the close partnership and warm ties between Singapore and Vietnam, which celebrate 45 years of diplomatic relations this year.

Phuc, who studied economics at the National University of Singapore in the early 1990s, said: “Singapore has always |been a trusted companion and closest |among our partners in the region.”

When Vietnam opened up, reformed and joined Asean in the 1990s, Singapore stood by its side, said Mr Phuc.

He added that Singapore investment, particularly in the seven Vietnam-Singapore industrial parks, played an important role in Vietnam’s economic development.

Earlier in the day, Singapore and Vietnam inked six deals on environmental protection, banking supervision, fintech, renewable energy, liquefied natural gas and trade rules.

Phuc also called on President of Singapore Halimah Yacob and had a wide-ranging discussion with Mr Lee.

Phuc welcomed more Singapore investment in newer areas including urban solutions, high-tech parks, digital infrastructure, public safety and security, and mobility in smart cities, Singapore and Vietnam said in a joint statement.

Phuc and Lee agreed to continue to tackle transnational environmental challenges, such as air and haze pollution, water quality management, coastal and marine pollution and climate change.

Both countries have strong potential to work together to tackle challenges in the areas of solid and hazardous waste, air and water quality and noise management, the statement added.

In his speech, Lee said Singapore and Vietnam have a common outlook on many regional issues, like the need to uphold the multilateral trading system and to maintain Asean’s relevance and centrality.

Both countries recently signed the revised Trans-Pacific Partnership, and are working on the Asean-led Regional Comprehensive Economic Partnership trade pact.

“Our friendship has strengthened over the past 45 years, and it will only grow stronger given the many bilateral and regional initiatives we are pursuing,” added Lee.

Friday’s summit between Moon and Kim has been hailed as a major step towards easing tension on the flashpoint peninsula and setting the mood for Kim’s upcoming face-to-face encounter with the US president.

It was the third summit between the two Koreas following meetings between Kim’s late father Kim Jong Il and late South Korean presidents Kim Dae-Jung and Roh Moo-Hyun, in 2000 and 2007 respectively.

Kim Dae-jung won the Nobel Peace Prize in 2000 for his role in the first summit. His widow, in a congratulatory message sent on Monday, told Moon she hoped he could also win the prize, set to be announced in October.

“President Trump can take the Nobel prize. All we need to take is peace,” Moon said in response.

The US leader’s war of words with Kim last year sparked global fears of another conflict on the peninsula once left in ruins by the 1950-53 Korean War.

Trump warned of “fire and fury” against the nuclear-armed North and traded colourful personal insults with Kim, branding him “Rocket Man” while Kim called Trump a “dotard”.

But the latest conciliatory push — promoted by a dovish Moon who advocates dialogue with the North — has raised hopes of a political detente unimaginable only months ago.

Trump on Saturday touted his ability to achieve a nuclear deal with the North’s regime at a campaign-style rally in Michigan, grinning and nodding as his supporters chanted “Nobel! Nobel!”

Moon — whose humble personality endeared himself to South Korean voters — has sought to play the role of a peace broker between the two mercurial leaders of the isolated North and the US, a major ally of the South.

Major UK bookmaker Coral has Kim and Moon as favourites to win the Nobel Peace Prize — with odds of 4/6 — followed by Trump and the UN High Commissioner for Refugees both with odds of 10/1.

The law, passed in early April, makes the deliberate dissemination of false information punishable by up to six years in jail and a hefty fine. It has sparked outrage from rights groups who believe it is aimed at cracking down on dissent.

Salah Salem Saleh Sulaiman, a 46-year-old of Yemeni descent, admitted making and posting on YouTube a video accusing emergency services of responding slowly after a Palestinian Hamas member was gunned down in Kuala Lumpur.

Fadi al-Batsh, said to be a rocket-making expert, was on his way to dawn prayers on April 21 when he was assassinated by motorbike-riding gunmen, a killing his family have blamed on Israel’s spy agency. The Jewish state has denied it was behind the murder.

The Dane, who did not have a lawyer and was wearing white robes and a green skullcap during a court appearance in Kuala Lumpur, said he was not aware of Malaysia’s laws.

“I agree I did a mistake, because I didn’t ask what is the law of this country,” he said, speaking in English, his hands trembling.

A clip of the video played in court, which lasted almost two minutes, showed him speaking in Arabic and complaining about what he claimed was the slow response of the police and ambulance service after the shooting.

Authorities have disputed his claims.

Judge Zaman Mohamad Noor sentenced him to a week in jail, including time already served since his April 23 arrest, and fined him 10,000 ringgit ($2,500). If he cannot pay the fine, then he will have to serve another month in jail, the judge said.

The Dane, who had been on a 10-day visit to Malaysia when the crime was committed, said he did not have enough money to pay the fine. He said he had three wives and six children.

The law banning fake news has sparked concern the government is seeking to crack down on criticism, particularly with a general election looming on May 9.

Leading independent news portal Malaysiakini last week mounted the first legal challenge against the legislation, arguing it breaches constitutional guarantees to freedom of speech.

The Chinese foreign ministry said in a brief statement that Wang Yi will visit North Korea on Wednesday and Thursday at the invitation of his North Korean counterpart, Ri Yong Ho.

The two met in Beijing in early April, days after talks between President Xi Jinping and North Korean leader Kim Jong Un in the Chinese capital — the first meeting between the leaders since Kim inherited power from his father Kim Jong Il in 2011.

Wang will be the first Chinese foreign minister to visit the North since 2007, a lapse that highlights the rough patch that relations between the Cold War-era allies have gone through in recent years.

Former premier Wen Jiabao visited Pyongyang in 2009.

China has backed a series of United Nations sanctions against Pyongyang over its nuclear weapons programme.

But Beijing is likely eager to avoid being marginalised in the wave of diplomacy that has led to last Friday’s historic summit between Kim and the South’s President Moon Jae In.

Kim is expected to meet with US President Donald Trump in the coming weeks at a time and place that have yet to be decided.

The North Korean leader has also invited Xi to visit Pyongyang, but no date has been set yet.

“The Chinese are undoubtedly eager to hear what Kim Jong Un’s plan is for his meeting with Donald Trump,” Bonnie Glaser, China specialist at the Washington-based Center for Strategic and International Studies, told AFP.

“It is also possible that Wang Yi is in Pyongyang to advance Xi’s visit to North Korea,” Glaser said, adding that there are rumours that the Chinese leader could go to Pyongyang before Trump’s summit with Kim.

At their summit in the Demilitarized Zone, Kim and Moon agreed to pursue the complete denuclearisation of the peninsula.

They also decided to seek a peace treaty by the end of the year and hold talks with the United States, and possibly China, to achieve it.

The Korean War ceased in 1953 with an armistice rather than a peace treaty. China fought on the North’s side.

Being left out of peace talks would be unacceptable to Beijing, Glaser said.

“The Chinese want to ensure that they are at the table and have a means to influence the course of events on the Peninsula,” Glaser said.

Test site closing

While China has backed punitive measure against the North, analysts say that Beijing could worry that the diplomatic thaw could lead to a deal between Pyongyang and Washington that goes against its interests.

A divided Korea has played in its favour as the North serves as a buffer from the South, where US troops are stationed. Despite recent tensions, China remains the North’s sole major ally and top economic partner.

In the latest major diplomatic announcements, Seoul said Sunday that Pyongyang has promised to shut its nuclear test site within weeks and invite American weapons experts to verify its closure.

Kim also said Pyongyang would have no need for nuclear weapons if it were promised it would not be invaded, according to Seoul.

“Beijing is likely irritated that Kim has ignored China’s ‘freeze for freeze’ proposal,” Glaser said.

China has repeatedly proposed that the North suspend its nuclear and missile tests in return for the United States, Japan and South Korean halting regional military drills.

But while Kim has offered to suspend the tests, he has dropped his demand for the US and its allies to halt military manoeuvres, she said.

“In addition, Kim has said nothing about the eventual removal of US troops from Korea, which is almost certainly what China hopes for,” Glaser said.