Chapter 1: The Foundations of Entrepreneurship

Factor-driven economy:

• Factor-driven economy:
• Countries compete primarily on the use of unskilled labor and natural resources and companies compete on the basis of price as they buy and sell basic products or commodities.
• Examples: Egypt, Algeria, Palestine, Pakistan

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Efficiency-driven economy:

• Efficiency-driven economy:
• Growth is based on the development of more efficient production processes and increased product quality.
• Examples: Croatia, Brazil, China, Russia, Tunisia

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Innovation-driven economy:

• Innovation-driven economy:
• Companies compete by producing and delivering new and different products and services by using the most sophisticated processes.
• Examples: USA, United Kingdom, Japan, Republic of Korea.

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Global Entrepreneurship Monitor (GEM) study:

• Global Entrepreneurship Monitor (GEM) study:
• Men are twice as likely to start a business as women.
• Entrepreneurs are most likely to launch businesses when they are between the ages of 35 and 44.
• Most people see entrepreneurial activity as a good career choice.

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Global Entrepreneurship Monitor (GEM):

• Global Entrepreneurship Monitor (GEM):
• A global study conducted by a consortium of universities
• It aims to analyze the level of entrepreneurship occurring in a wide basket of countries.
• It measures entrepreneurship through both surveys and interviews to field experts , conducted by the teams of each country.

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Entrepreneur:

• Entrepreneur:
• One who creates a new business in the face of risk and uncertainty for the purpose of achieving profit and growth by identifying opportunities and assembling the necessary resources to capitalize on them.

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