...1 Entrepreneurship, Innovation, and Economic Development: An Overview Adam Szirmai, Wim Naudé, and Micheline Goedhuys 1.1 Purpose of the book Economic development requires sustainable and shared increases in per capita income accompanied by changes in the structural composition of an economy towards higher value added goods and more efficient production methods. Entrepreneurs can contribute to economic development by facilitating the reallocation of resources from less to more productive uses (Acs and Storey 2004), by performing ‘cost-discovery’, ‘gap-filling’, and ‘input-completing’ functions in the economy (Leibenstein 1968; Hausmann and Rodrik 2003) and by supporting structural change (Lewis 1954; Gries and Naudé 2010). These roles have recently been the subject of a growing literature (see e.g. Minniti and Naudé 2010; Naudé 2010a, 2010b, 2010c). A neglected function in this literature is the potential role of entrepreneurs as innovators in developing countries. Joseph Schumpeter pointed out a century ago that entrepreneurs are often innovators, bringing new goods and technologies to markets, opening up new markets, processes, and ideas, and commercializing new knowledge. But, it is often mistakenly suggested that innovation by entrepreneurs is less important for growth in low-income developing countries than in more advanced economies.1 A substantial literature has been devoted to understanding the conditions under which entrepreneurs innovate, and the nature and evolution...
Words: 12560 - Pages: 51
...Entrepreneurship and Poverty Alleviation: An Empirical Study Nawal Meraj Syeda Ayesha Sadruddin Rahat Shams Business Ethics Dr. Muhammad Asim 11th May, 2015 ACKNOWLEDGEMENT We would also like to thank our colleagues from New York University, Abu Dhabi, who provided insight and expertise that greatly assisted the research, although they may not agree with all of the interpretations/conclusions of this paper. We would also like to show our highest gratitude to the Dr. Muhammad Asim for sharing his pearls of wisdom with us during the course of this research and guiding us throughout the course work. Table of Contents ABSTRACT 2 Keywords Error! Bookmark not defined. 1.0 INTRODUCION 2 2.0 CONCEPTUAL FRAMEWORKAND BACKGROUND OF THE STUDY 2 2.1 Concept of Poverty 2 2.2 Concept of Entrepreneurship 2 2.3 GDP Growth and Poverty Reduction 2 2.4 Strategies for Reducing Poverty through Entrepreneurship 2 2.5 Relieving Poverty through Entrepreneurship Education 2 3.0 METHODOLOGY OF THE STUDY 2 4.0 EMPIRICAL REVIEWS ON ENTREPRENEURSHIP AND POVERTY ALLEVIATION 2 5.0 CONCLUSION 2 6.0 FUTURE RESEARCH 2 REFERENCES 2 ABSTRACT Entrepreneurship is a real wellspring of riches and employment creation, financial and mechanical development and an indication of social change. Entrepreneurs have intermittently acquired a place in the discussions of drivers of economic development. Over the world, countries that made entrepreneurship...
Words: 4714 - Pages: 19
...International Business for thesis work and potential thesis topics when choosing and informing us the field of your thesis + the thesis topic in the form Indication of Interest Area for Thesis 2013-2014. Part 1. Thesis topics for companies and other organizations We have first listed the thesis projects that are available to do for companies and organizations. If you are interested in these projects, please mark the topic to the Indication of Interest Area form the same way than any other topic. It should be noted that the students selected to do the thesis from these topics must be motivated and committed for the work. Please do not contact these organizations yourself before the selection process has been completed for all students. More information on topics can be asked from Mari Syväoja or Tomi Heimonen. Organization: Thesis Biofenno projects for (www.biofenno.fi) companies and organizations Selected Thesis Topics for companies and organizations Internationalization plan Plan how to take and promote product Tuovi Tuotevirtakirjanpito to EU markets. Tuovi Tuotevirtakirjanpito is a stock and feed recording program for organic farmers. It produces necessary stock and feed reports for annual inspection. Also stock balance reporting benefits farm managements. Because Tuovi Tuotevirtakirjanpito complies with all the regulations EU has set for organic farmers, it has possible markets in EU. Aalto School of Competitive environment of Small Business Center Business, The Aalto...
Words: 1721 - Pages: 7
...Introduction Entrepreneurship is becoming of vital importance in the economies like Pakistan. Entrepreneurship is strongly related to small medium enterprise (SME), which is considered to be the main developing force of the developing economies market. Previously many economists believed that it is the large firm which contributes in the developing of economies and attracts foreign exchange in the country. But there point of view changed when countries like Taiwan, Japan, and Korea established their economies on the bases of SMEs. These economies build up from grass root level to the heights of success. According to Schapper (2006), in developing nations more than 90% of the firms fall under the category of SMEs and he also above than 90% of these firms are microenterprises. Pakistan is also one of the countries focusing on the development of SMEs. Almost 13 years ago Govt. of Pakistan established institution named SMEDA; small and medium enterprise authority, responsible for the guidance and the promotion of SMEs. SMEs are very heterogeneous business operating in many different sectors such as trade, agri- business and manufacturing (Hussain et al, 2009). Pakistan is a very potential market for SMEs. Before very less or no importance is given on the business research which could attract many foreign investments. There are certain issues regarding the success and failures of SMEs which need to explore out and address. What is Entrepreneur? The term entrepreneur...
Words: 3352 - Pages: 14
...Progress of Entrepreneurship development in Narayanganj Sadar Upazilla: A Short Case study Entrepreneurship - the process of starting a business; typically a startup company offering an innovative product, process or service is termed as entrepreneurship. The entrepreneur perceives an opportunity and often exhibits biases in taking the decision to exploit the opportunity. Entrepreneurship can be defined by describing what entrepreneurs do. For example: “Entrepreneurs use personal initiative, and engage in calculated risk-taking, to create new business ventures by raising resources to apply innovative new ideas solve problems, meet challenges, or satisfy the needs of a clearly defined market.” It refers to activities related to undertaking the efforts to set up an industry or business establishment. He who takes to establish business is the entrepreneur. Entrepreneurship is an entity of people with the ability to see an opportunity where necessary capital, labor & other inputs operating together & successfully along with know-how skill and have willingness to take the personal risk of success or failure. According to Jean Baptist Say, ‘Entrepreneur is an economic agent to unite all the means of production.’ An entrepreneur is an individual who takes moderate risks and brings innovation. Entrepreneurs are often contrasted with managers and administrators who are said to be more methodical and less prone to risk-taking. According to S.S. Khanka-”Entrepreneurship is a process...
Words: 4916 - Pages: 20
...Sustainable Microentrepreneurship: The Roles of Microfinance, Entrepreneurship and Sustainability in Reducing Poverty in Developing Countries GUY VINCENT CONTENTS 1. INTRODUCTION 2. THE RELATIONASHIPS BETWEEN MICROFINANCE, ENTREPRENEURSHIP AND SUSTAINABILITY IN REDUCING POVERTY IN LDCS 2.1. THE ROLE OF MICROFINANCE IN REDUCING POVERTY IN LDCS 2.2. THE ROLE OF ENTREPRENEURSHIP IN REDUCING POVERTY IN LDCS 2.3. THE ROLE OF SUSTAINABILITY IN REDUCING POVERTY IN LDCS 3. SUCCESSFUL CASE STUDIES OF MICROFINANCE, ENTREPRENEURSHIP AND MICROFINANCE IN REDUCING POVERTY IN LDCS 4. EFFECTS OF SUSTAINABLE MICROENTREPRENUERSHIP ON LDCS 5. CONCLUSION 6. REFERENCES 1. INTRODUCTION About 90 percent of the people in developing countries lack access to financial services from institutions, either for credit or savings1, which further fuels the “Vicious Cycle of Poverty” (refer to Fig. 1). If the people of LDCs have a limited capacity to invest in capital, productivity is restricted, incomes are inhibited, domestic savings remain low, and again, any increases in productivity are prevented. A lack of access to financial institutions also hinders the ability for entrepreneurs in LDCs to engage in new business ventures, inhibiting economic growth, and often, the sources and consequences of entrepreneurial activities are neither financially nor environmentally sustainable (existing for continuing future use). Microfinance serves as a means to empower the poor, and provides a...
Words: 4845 - Pages: 20
...MCSER-CEMAS-Sapienza University of Rome Vol 2 No 5 July 2013 Challenges and Prospects of Entrepreneurship in Nigeria Okezie A. Ihugba Alex Odii Asoluka C. Njoku Department of Economics, Alvan Ikoku Federal College of Education, Owerri-Imo State, Nigeria Doi:10.5901/ajis.2012.v2n5p25 Abtsract The success of generating income for majority of rural and urban dwellers with no formal paid employment highly depends on Entrepreneurship. They are the backbone of economic development all over the world and play important role for employment, income and societal changes, particularly in transition economies like Nigeria. This paper is concerned with the nature and the extent to which entrepreneurship in Nigeria has been developed so far, and outlines the initiative by government and also the main current and future challenges and perspectives for the development of entrepreneurship. The study revealed that such initiatives by government failed abysmally due to over bearing bureaucracies, corruption, inadequate and inefficient infrastructural facilities and maladministration. The paper concludes that entrepreneurship miracle in other country is an engine for job creation; innovation and diversity and Nigeria’s entrepreneurs have a long way to go before they can effectively drive changes in the economy and recommends that Government (policy makers) should genuine recognize the essence of entrepreneurship to economic development by providing the enabling environment for private sector led investment...
Words: 6725 - Pages: 27
...Research Paper No. 2008/20 Entrepreneurship in Economic Development Wim Naudé * March 2008 Abstract What is the role of entrepreneurship in economic development? At a minimum the answer should be able to explain the role of entrepreneurs in the structural transformation of countries from low income, primary-sector based societies into high-income service and technology based societies. More broadly though, it should also be able to explain the role of entrepreneurs in the opposite pole of stagnating development (including conflict) and in high innovation-driven growth. Although economic development lacks a ‘general theory’ of entrepreneurship, which could encompass a variety of development experiences, much progress has been made in extending the understanding of entrepreneurship in the process of development. This paper surveys the progress with the purpose of distilling the outlines for a more general theory of entrepreneurship in economic development. Entrepreneurship in developing countries remains a relatively under-researched phenomenon, so by surveying the current state of research, and by discussing the role of entrepreneurship in dual economy models of structural transformation and growth, a secondary objective of this paper is to identify avenues for further research. Finally, the policy implications from the economic literature suggest that a case for government support exists, and that this should focus on the quantity, the quality, and the allocation of entrepreneurial...
Words: 23259 - Pages: 94
...entrepreneurs. He found that Bangladeshi entrepreneurs are generally hard working, honest, religious, trustworthy, reliable, and less educated and live simple lives. Most of the entrepreneurs in this survey had poor educational background and were not good students. Generally these entrepreneurs come from three groups: 1. Those families who have been in business or industry by tradition and their children Are now in business, 2. Retired government officers or politicians or their family members. 3. Those that began small but achieved considerable success by their personal efforts. Rahman (1989) found that Bangladeshi Entrepreneurs possess some characteristics that are similar to characteristics of entrepreneurs in other countries. He did an extensive survey on 5 living Bangladeshi entrepreneurs and found that they are hard workers, truthful, religious, simple living, honest, sincere, good leaders; task oriented and had capacity to influence others. The highest educational degree they achieved was the Bachelors degree. Most of them started their businesses after the age of 35. All of them came from non-business family backgrounds. They had previous job experience that helped them to acquire practical knowledge in decision making process, managing workers, handling accounts and dealing with the bureaucracy. They were moderate risk takers and innovative. They diversified their risks in different types of industries, trade, building houses etc. after...
Words: 11869 - Pages: 48
...and Prospects of Entrepreneurship in Nigeria Abtsract The success of generating income for majority of rural and urban dwellers with no formal paid employment highly depends on Entrepreneurship. They are the backbone of economic development all over the world and play important role for employment, Income and societal changes, particularly in transition economies like Nigeria. This paper is concerned with the nature and the extent to which entrepreneurship in Nigeria has been developed so far, and outlines the initiative by government and also the main current and future challenges and perspectives for the development of entrepreneurship. The study revealed that such initiatives by government failed abysmally due to over bearing bureaucracies, corruption, inadequate and inefficient infrastructural facilities and maladministration. The paper concludes that entrepreneurship miracle in other country is an engine for job creation; innovation and diversity and Nigeria’s entrepreneurs have a long way to go before they can effectively drive changes in the economy and recommends that Government (policy makers) should genuine recognize the essence of entrepreneurship to economic development by providing the enabling environment for private sector led investment for economic development and also provide adequate infra-structural facilities (water, electricity, road network, communications etc.) Introduction A nation's ability to generate a steady stream of business opportunities can...
Words: 5924 - Pages: 24
...European Journal of Business and Management ISSN 2222-1905 (Paper) ISSN 2222-2839 (Online) Vol 4, No.8, 2012 www.iiste.org The Role of Entrepreneurship in Economic Development: The Nigerian Perspective Dr. Mrs Ann Ogbo AGU CHIDIEBERE NWACHUKWU Dept. Of management, University of Nigeria, Enugu Campus. PMB 011 *E mail of the correspondence author: annogbo@yahoo.com brightchidi@yahoo.com Abstract The aim of the paper is to develop and analyse the contributions of entrepreneurship in the economic development through SME development in Nigeria. A total of 100 SMEs were randomly selected from a cross section of a population of all SMEs spread around some states of Nigeria and covering virtually all forms of enterprise. Participants were selected through a simple random sampling. The responses to the questionnaires were complemented with personal interviews of some SMEs operators. The responses of the participants were analyzed using the statistical package for social sciences (SPSS), which generated the frequency distributions, means, standard deviations, chi-square statistics, analyses of variance, etc of the responses. The hypotheses of this research which were tested at 0.05 level of significance using chi-square statistics hinged on identifying the greatest problem which SMEs face in Nigeria, the identification and ranking of the top ten problems or challenges of SMEs in Nigeria and the relationship between the form and nature of the business enterprise and its sources of funding...
Words: 7407 - Pages: 30
... II. Literature Review…………………………………………………………….....5 III. Methodology…………………………………………………………………......6 IV. Results and Analysis……………………………………………………………..9 V. Summary and Conclusions……………………………………………………..12 Summary………………………………………………………………………………………………….12 Conclusions………………………………………………………………………………………………13 Recommendations……………………………………………………………………………………14 References……………………………………………………………………………………………….15 Abstract The uncertain global economic recovery and the worsening Eurozone crisis continue to undermine those factors that enabled the least developed countries (LDCs) as a group to attain higher growth rates between 2002 and 2008. Despite seeing real gross domestic product (GDP) grow slightly faster in 2010, the group as a whole performed less favorably in 2011, signaling challenges ahead. LDCs have been most affected by financial crises caused by other countries. With less diversified economies, LDCs have neither the reserves nor the resources needed to cushion their economies and adjust easily to negative shocks. In addition, if another global downturn hurts the growth prospects of emerging economies, LDCs, as major commodity exporters, will be directly affected. Therefore, LDCs require increased external...
Words: 2087 - Pages: 9
...Research Proposal Topic: THE IMPACT OF ENTREPRENEURIAL NETWORKING TO ENHANCE WOMEN PARTICIPATION IN SMEs Introduction In this dynamic business world entrepreneurship has inferred special significance, as it is a key driver to economic development. The objectives of industrial development, regional growth, and employment generation depend upon entrepreneurship. Consequently entrepreneurs are, thus the seeds of industrial development and the fruits of this development are greater employment job opportunities to unemployed people. Entrepreneurship leads to higher income, increases in per capita income, higher standard of living, and individual saving, revenue to the government in the form of various taxes. The recent concept of “entrepreneurial networking/social networking” has emerged as one of the contributing factors to growth of enterprises (Davidsson and Honig, 2003; Lam, Leibbrandt, & Mlatsheni, 2007). Information is a major resource for men and women entrepreneurs and can connect to marketplaces, suppliers; costs, technology, and networking have appeared as valuable for contributing assistance to entrepreneurs. The networking is becoming popular and a valuable way to get hold of relevant information to get competitive advantages. Networking provides entrepreneurs a variety of priceless sources not previously in ownership and assist to accomplish their goals (Hansen, 1995; Jenssen, 2001; Ripolles and Blesa, 2005; Welter and Kautonen, 2005). Networking can be...
Words: 2657 - Pages: 11
...MICROFINANCE INSTITUTIONS AND ECONOMIC GROWTH OF SMALL & MICRO-ENTERPRISES (SMES) ACASE STUDY OF (UWMFO) MICRO FINANCE INSTITUTION BY HENRY EGYEYU DEDICATION To the memory of my grand father Daniel Egeyu Whose love & enthusiasm for academia first kindled mine? ABSTRACT This research study investigates the impact of microfinance institutions on entrepreneurial development of Small & Micro-enterprises (SMEs) that are craving for growth and development in a war revived district called Gulu. The researcher used questionnaire as an instrument of primary data collection. Tables and simple percentages were used in data presentation. For clear analysis, the study centers on two broad variables; the dependent variable which is entrepreneurial development and the independent variable which is microfinance institutions. Three different hypotheses were formulated and tested using various statistical tools such as chi-square test, analysis of variance and simple regression analysis. The study reveals that (i) there is a significant difference in the number of entrepreneurs who used microfinance institutions and those who do not use them; (ii) there is a significant effect of microfinance institutions activities in predicting entrepreneurial productivity; and (iii) that there is no significant effect of microfinance institutions activities in predicting entrepreneurial development. The researcher concludes...
Words: 12676 - Pages: 51
...European Journal of Business and Management ISSN 2222-1905 (Paper) ISSN 2222-2839 (Online) Vol 4, No.8, 2012 www.iiste.org The Role of Entrepreneurship in Economic Development: The Nigerian Perspective Dr. Mrs Ann Ogbo AGU CHIDIEBERE NWACHUKWU Dept. Of management, University of Nigeria, Enugu Campus. PMB 011 *E mail of the correspondence author: annogbo@yahoo.com brightchidi@yahoo.com Abstract The aim of the paper is to develop and analyse the contributions of entrepreneurship in the economic development through SME development in Nigeria. A total of 100 SMEs were randomly selected from a cross section of a population of all SMEs spread around some states of Nigeria and covering virtually all forms of enterprise. Participants were selected through a simple random sampling. The responses to the questionnaires were complemented with personal interviews of some SMEs operators. The responses of the participants were analyzed using the statistical package for social sciences (SPSS), which generated the frequency distributions, means, standard deviations, chi-square statistics, analyses of variance, etc of the responses. The hypotheses of this research which were tested at 0.05 level of significance using chi-square statistics hinged on identifying the greatest problem which SMEs face in Nigeria, the identification and ranking of the top ten problems or challenges of SMEs in Nigeria and the relationship between the form and nature of the business enterprise and its sources of...
Words: 7375 - Pages: 30
