2014 Queensland Small Business Week (September 1-5) was a busy time for ACE, with lots of external exposure and great networking. It started on the Monday with the high profile event “Are You a Business Tiger?”, organised by the Small Business Minister’s office, in QUT’s exquisite “Room Three-Sixty”. ACE Director, Per Davidsson, was one of the key presenters-panelists, along with Dhruba Gupta, Paul Niederer, Kit Kriewaldt and Emily Jade O’Keeffe. Per’s speech was one of “encouragement and caution” – based on research – in relation to canonising the most rapidly growing firms in the economy. The event was also streamed to over 700 participants in regions throught out Queensland. The Queensland Minster for Tourism, Major Events, Small Business and the Commonwealth Games, Honourable Jann Stuckey MP, closed the plenary part of the event. This was followed by roundtable sessions, many of which were facilitated by ACE and QUT Business School affilates, Paul Steffens, Rowena Barrett, Stephane Tywoniak, John Polichronis, Sukie Sawang, Sandeep Salunke, Tonis Mets, Julienne Senyard and Deb McGregor. Read more
I recently attended the G20YEA (Youth Entrepreneurship Alliance) Summit in Sydney http://www.g20yea.com/en/summit/ It was an exciting, high energy event attended by over 400 delegates from around the globe representing the G20 countries.
It became clear that youth entrepreneurship is very much on the agenda of many governments around the globe, including Australia. With youth unemployment spiralling out of control, and traditional employment growth stagnated, entrepreneurship is seen as a key ingredient for addressing the problem. Critically, across the G20 70% of job growth is coming from the SME sector, particularly young SMEs.
Helen Clark, now Administrator of the UN Development Program, presented a passionate speech emphasizing the size of the problem on a global scale. Senator Ryan confirmed Australia’s commitment to this agenda.
I was invited to participate in a panel session on culture, equality and youth entrepreneurship. I presented some data from our GEM (Global Entrepreneurship Monitor) study that was well received.
The event concluded with a signed communique to the G20 Leaders Summit:
“The young entrepreneurs of the world gathered at the Sydney G20 YEA Summit support the Australian G20 priorities on private sector led growth and greater resilience of the world economy. We call on the G20 Leaders, Finance Ministers and Central Bank Governors to focus on entrepreneurship and agree to implement policies, legislation and incentives for ecosystems that support start-ups and sustainable high growth entrepreneurial SMEs, young entrepreneurs and enhance private sector led growth.”
The communique went on to outline key priorities across 9 pillars of the entrepreneurship ecosystem. Action plans for each national team.
Congratulations to Jeremy Liddle and Aaron McNeilly for organizing such an outstanding event.
ACE is soon conducting the Australian leg of the GEM (Global Entrepreneurship Monitor) study. As part of this project, we conduct a National Expert Survey (through April and May). This survey reports on the national framework conditions for entrepreneurship in Australia.
We are conducting a short (5 minute) survey of several expert respondent in each category below. Each expert is required to have a sound knowledge of the Australian conditions (or at least one State or Territory) in at least one of the following areas:
- Entrepreneurial financing,
- governmental policies,
- governmental programs,
- entrepreneurial education and training,
- R&D transfer,
- commercial and professional infrastructure,
- internal market openness,
- physical and services infrastructure,
- social and cultural norms.
If you would like to nominate (or self-nominate) an Australian expert in any of the areas, please complete the online form.
Associate Professor Paul Steffens
Deputy Director, ACE
ACE’s recent Global Entrepreneurship Monitor report received media coverage with CNN last week. Here is the opinion piece by Associate Professor Paul Steffens, deputy director of ACE:
Essentially the report outlines Australia’s impressive recent entrepreneurial performance. The full report can be found here:
What is GEM
In 2011, the Global Entrepreneurship Monitor (GEM) study was conducted across 54 countries. Over 140,000 adults aged between 18 and 64, including 2,000 in Australia were interviewed. GEM differs from other studies in that by surveying the adult population, it identifies entrepreneurs at the very earliest stages of new business creation.
- Australia’s entrepreneurship rate is second only to the USA amongst developed countries
- We estimate that 10.5% of the Australian adult population were actively engaged in starting and running new businesses in 2011. This equates to 1.48 million early-stage entrepreneurs
- Of the estimated 1.48 million early-stage entrepreneurs:
* 40% or 590,000 were women
* 33% or 580,000 expected to creates at least 5 new jobs in the next 5 years
* 11% or 170,000 expected to create 20 or more new jobs in the next 5 years
- Australia also ranks above average for employee entrepreneurial activity in established firms. An estimated 5.0% of the adult population is engaged in developing or launching new products, a new business unit or subsidiary for their employer.
- Australia was one of only three developed countries, together with the US and Netherlands, that ranked above average for both entrepreneurship rate and employee entrepreneurial activity
- Australia outperforms most other developed economies on indicators of the quality and economic impact of its business start-ups, including growth aspirations, number of opportunity-driven start-ups and innovativeness
- The vast majority of start-ups in Australia are founded based on a desire to take advantage of perceived opportunities with only 1 in 5 new ventures started through necessity –
- While the global economic slowdown (GFC) clearly increased the level of necessity driven entrepreneurship in Australia, this increase is not as strong as that experienced in the USA.
- Approximately 50% of the Australians believe that good opportunities exist for the establishment of new ventures, and that they possess the skills to start a business. This is well above international averages.
- International orientation is below average for Australian early state entrepreneurs, most likely due to the geographic distance to international markets
- Australian entrepreneurship is comparatively inclusive. For example, at 8.4% the female total entrepreneurial activity is second only to the USA.