
Startup or starting over: what can entrepreneurs learn from Artsakhi refugees?
Starting a business is always a leap of faith. But for refugees from Artsakh – an ethnically Armenian region forcibly depopulated in 2023 – it's often a matter of survival. If you're starting over after a career setback, bootstrapping a business during inflation, or trying to harness the power of AI, you may have more in common with these refugee founders than you think.
Displaced by war, stripped of their homes, jobs, and communities, thousands of Artsakhi Armenians arrived in unfamiliar cities across Armenia beginning in 2020. They brought with them little more than their skills, families, and determination. Yet, amid the chaos, many have launched new businesses – bakeries, tailoring shops, and phone repair kiosks – not just to make ends meet, but to reclaim a sense of purpose.
Their stories aren't only about survival. They are blueprints for navigating uncertainty, especially relevant to Western entrepreneurs now facing an unstable economic climate, a volatile funding landscape, and rising rates of burnout and layoffs.
Lessons from the frontline
In my economic development role at the Fund for Armenian Relief (FAR), I work closely with displaced entrepreneurs, providing microloans and business counselling. As a witness to both remarkable successes and painful failures, I have compiled some powerful lessons from the front lines of forced entrepreneurship – and how they apply whether you're in Glendale, California, or Gyumri, Armenia.
1. Start small. Scale fast.
One Artsakhi baker began with just 15 loaves a day, selling from their apartment kitchen. Slowly, they expanded their offerings, adding the regional specialty jingyalov hats (a wild herb flatbread.) It wasn't glamorous, but it was viable and scalable, allowing the baker to adapt without overextending. With their product and market defined and proven, they expanded to both a storefront and delivery service with more than 150 daily customers.
Western parallel: in the US, this principle echoes the lean startup approach. When Sara Blakely launched Spanx, she didn't start with a full product line. She had just one product and made a cold-call pitch to Neiman Marcus. Likewise, Glossier began as a blog (Into the Gloss) before selling its first skincare product.
The lesson: the term "MVP" (Minimum Viable Product) is a popular buzzword among engineers and CEOs, but it's also a viable survival tactic. Winning businesses think small, move fast, and reinvest only in what works. With investors tightening their belts and consumers more cautious, this approach is more relevant than ever.
2. Know the market – then adapt to it
Marat, an Artsakhi refugee with a passion for numismatics, used his savings to produce souvenir coins featuring historical Armenian figures. But the market had other ideas – tourists wanted general Armenian imagery at low prices. So, Marat pivoted. He got feedback from his English-speaking children and their friends, redesigned his products, and partnered with other displaced sellers to distribute his items.
Western parallel: one of the strengths that helps founders get off the ground is often their downfall. Too many cling to a personal vision when product-market fit is the real key to success. When Airbnb first launched, it attempted to target attendees of local conferences. That never took off – until they refocused on budget-conscious travellers during the recession. Similarly, Slack started as an internal communication tool at a failed gaming startup.
The lesson: you can stay true to your vision, but if your market doesn't respond, adjust fast. Today, data drives successful pivots, not ego.
3. Build a community, not just a customer base
Diana Martirosyan was a well-known hairdresser in Artsakh's capital. After the displacement, she rented part-time space in two salons – one in Yerevan and one in the suburban town of Abovyan, where many of her former clients had resettled. While her Artsakhi clients couldn't afford Yerevan prices at first, they became her best advocates. Word-of-mouth referrals snowballed into steady income – and soon, a thriving business.
Western parallel: many US founders overlook community-building in favour of social media reach. But building a loyal user base can matter more than building a big one. Before Dropbox went public, its growth was driven by user referrals, not advertising. Likewise, Glossier's success was driven by its deeply engaged customer community, cultivated long before its first product drop.
The lesson: when you're starting out (or starting over), prioritise community over scale. Your first supporters are your loudest marketers, so make every early customer feel like a stakeholder.
4. Reinvent yourself with purpose
In moments of upheaval, identity and enterprise are intertwined. Srbuhi, once a homemaker in Artsakh, became her family's primary breadwinner overnight. She began sewing scarves and tote bags featuring imagery from her lost homeland. Her craft business wasn't just income – it was therapy, storytelling, and legacy-building for her children.
Western parallel: during the pandemic, thousands of Americans underwent similar identity shifts. When Broadway shut down, actor and singer Laura Benanti launched an online community to support isolated performers. Millions left the workforce and re-emerged as freelance consultants, Etsy sellers, or solopreneurs. The "Great Resignation" wasn't just a labour trend – it was a movement of reinvention.
The lesson: when the path forward is unclear, lead with what you can offer others. Whether it's a product, a message, or just a source of hope, purpose gives structure to risk.
Resiliency and resourcefulness
Entrepreneurship is hard everywhere, but the instincts that help people survive can also help you thrive. The entrepreneurs of Artsakh didn't plan to start over. But when their lives were uprooted, they leaned into resourcefulness, adaptability, and community. That's not just a refugee story. That's a founder story.
Whether you're baking flatbreads or building software, the answer might just lie in thinking smaller, listening harder, and building from the heart out.
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