Entrepreneurship Development

Entrepreneurship Development
Chapter 2
Entrepreneurship Environment

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 Entrepreneurship Development.

Outcomes
 Policy Factors
 Information
 Social support
 Family support
 Update industry knowledge

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Significance and role of Environment

Entrepreneurs are not born…They are made
right from the childhood.

Environment around the entrepreneur makes

an entrepreneur.

People are not born as entrepreneur, Their

thinking and creativities made them
entrepreneurs

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 Entrepreneurship Development.

Entrepreneurship Environment

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 Entrepreneurship Development.

Environmental factors to Entrepreneurship

Development.
 Parents and Family factors
 Friends
 Teachers
 Educational Institutes
 Society Factors
 Economical factors
 Neighborhoods
 Political factors &
 Others factors
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 Entrepreneurship Development.

Entrepreneurship Development.

Entrepreneurship is the result of the interaction

and assimilation of different social and
environmental factors

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Entrepreneurial Environment

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 Entrepreneurship Development.

Entrepreneurial Environment
Entrepreneurial Environment is a combination of
factors that play a role in the environment of
entrepreneurship
It reflect to overall economics, socio-culture,
political factors that peoples willingness and
ability to undertake entrepreneurial activities.
It also refer to the availability of assistance and
support service that facilitate the start-up
progress
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 Entrepreneurship Development

Continue……
 The available literature on entrepreneurial
environments can be grouped into three broad
streams:
i) General environmental conditions
entrepreneurship
ii) Environmental conditions of the particular
country or region
iii) The role of public policy in shaping
entrepreneurship environmental
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 Entrepreneurship Development

General Environmental Conditions

 General Environmental Conditions that may
influence entrepreneurship development:
i) Legal and institutional frame work for efficient functioning
of private enterprises
ii) Presence of experience entrepreneurs and skill labor force
iii) Accessibility of suppliers and customer or new markets
iv) High degree of competitions among firms
v) Favorable government policies
vi) Supportive infrastructure

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 Entrepreneurship Development

Factors and Policies

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 Entrepreneurship Development

Country region Specific

Environmental Conditions
 Country that keeps rules and regulations
at a minimum offer of tax and others
incentives
 Incorporations regulatory and cost
 Furthermore factors such as availability
of financial resource, local government
and central government policy, rate of
new venture etcs.
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Continue…
Several studies and statistics show the
entrepreneurs face lots of obstacles
such as lack of financial assistance, lack
of information on various aspects of
business excessive taxation and high
rate of inflation

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Role Of Public Policy

Scholar that focused on the role of public policy
suggested several policy options for
developing entrepreneurship
i) These policy options including provision of venture capital funds
ii) Tax-based incentives and government procurement programs
iii) Protections particular group
iv) Favor some particular group of people
v) Protections and priorities idea and innovations
vi) Explicit recognition of support for government agencies
vii) Fostering of entrepreneurship by education and social awareness

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Analyze and Motivations

 Create positive analysis for encourages

entrepreneurial development and
growth, so called Motivation…
 Its all about money or Financial
freedom
 But it is not all about money…

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 Entrepreneurship Development

Internal & External Factors

Internal Factors

i) Family perception background

ii) Educational Background
iii) Desire for achievement
iv) Training and development

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Basic Information & Requirements

 Certain infrastructural elements seems to
make substantial on the entrepreneurial
environments
i) Modern transportation and communications facilities
that provide easy access to supplier and customers
ii) Network and information technology
iii) Availability of establishment cost of desire space of
office
iv) Connection to public transport
v) Connection with port, airport

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Continue…
 Support from industry
 Local climate conditions
 Logistics support
 Electricity
 Water
 Others

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Updating knowledge
 maps and transport information
 shopping details and timing of local markets
 restaurants, cafes and other dining venues
 facilities and services such as hairdressers, dentists, travel
agencies, post offices and banks
 theatres and entertainment venues
 sporting venues and fitness centres
 art galleries and museums
 places of local and historic significance
 local guided tours and trips
 local customs
 festivals and special events (local councils usually have a
calendar of events).

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