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  • 8/9/2019 seesin 2 gem.ppt

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    Global Entrepreneurship MonitorGlobal Entrepreneurship Monitor

    (GEM)India Project(GEM)India Project

    Dr Gautam DuttaDr Gautam Dutta

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    Introduction to GEMIntroduction to GEM

    • The Global Entrepreneurship Monitor (GEM) project is a multi-The Global Entrepreneurship Monitor (GEM) project is a multi-country research project aimed at assessing the level ocountry research project aimed at assessing the level oentrepreneurial activity in the participating countries and lin!ingentrepreneurial activity in the participating countries and lin!ingit to the entrepreneurial rame"or! conditions (E#$s) and theirit to the entrepreneurial rame"or! conditions (E#$s) and theirprojected economic gro"th on the other%projected economic gro"th on the other%

    • The project &initiated in 1'''& has been coordinated by ondonThe project &initiated in 1'''& has been coordinated by ondonusiness *chool& +,& and abson $ollege& +*&usiness *chool& +,& and abson $ollege& +*&

    • Ten countries in 1'''& 21 in 2...& 2/ in 2..1&0 in 2..2 and 0 inTen countries in 1'''& 21 in 2...& 2/ in 2..1&0 in 2..2 and 0 in2..2..

    • 3ndia has participated during 2...& 2..1&2..2 and 2..4%3ndia has participated during 2...& 2..1&2..2 and 2..4%

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    Major Objectives of GEMMajor Objectives of GEM

    • Measure and benchmark the level ofMeasure and benchmark the level ofentrepreneurial activity among different countriesentrepreneurial activity among different countries

    • Examine the factors that may have led to someExamine the factors that may have led to somecountries having higher levels of entrepreneurshipcountries having higher levels of entrepreneurship

    than othersthan others

    • Identify what can be done to enhance the nationalIdentify what can be done to enhance the national

    level of entrepreneurial activitylevel of entrepreneurial activity

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     The GEM Conceptual Model The GEM Conceptual Model

    • The main hypothesis o the GEM research project is that the level oThe main hypothesis o the GEM research project is that the level oentrepreneurial activity in a country has a bac!"ard lin!age to the 6uality oentrepreneurial activity in a country has a bac!"ard lin!age to the 6uality o

    the entrepreneurial rame"or! conditions in the country and a or"ard lin!agethe entrepreneurial rame"or! conditions in the country and a or"ard lin!ageto the country7s economic gro"th% simpliied version o the GEMto the country7s economic gro"th% simpliied version o the GEM$onceptual Model is as belo"8$onceptual Model is as belo"8

    • The $ausal relationships implied in the model are at t"o levels8 (1) theThe $ausal relationships implied in the model are at t"o levels8 (1) thesupportiveness o the entrepreneurial rame"or! conditionssupportiveness o the entrepreneurial rame"or! conditions

    inluences the level o entrepreneurial activity& and (2) the level oinluences the level o entrepreneurial activity& and (2) the level oentrepreneurial activity inluences economic gro"th%entrepreneurial activity inluences economic gro"th%

    • t the level o individual countries& the GEM research eort is mainly at the level o individual countries& the GEM research eort is mainly aact-inding mission to ascertain the supportiveness o theact-inding mission to ascertain the supportiveness o theentrepreneurial rame"or! conditions and the level o entrepreneurialentrepreneurial rame"or! conditions and the level o entrepreneurial

    activity in the country%activity in the country%

    Entrepreneurial

    framework

    conditions

    Level

    of

    Entrepreneurial activity

    Economic

     growth

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    GEM conceptual modelGEM conceptual model

    *ocial&

    $ultural&

    9olitical

    $onte:t

    General ;ational #rame"or! $onditions• Openness External !rade"• Government Extent# $%ole"• &inancial Markets Efficiency"• !echnology# %'( )evel# Intensity"• Infrastructure *hysical"• Management +kills"• )abor Markets &lexible"• Institutions ,nbiased# %ule of )aw"

    Entrepreneurial #rame"or! $onditions• &inancial• Government *olicies•  Government *rograms•  Education ' !raining•  %'( !ransfer •  -ommercial# )egal Infrastructure•  Internal Market Openness•  .ccess to *hysical Infrastructure•  -ultural# +ocial /orms•  Opportunities for /ew 0enture -reation#Opportunities for /ew 0enture -reation#•  Entrepreneurial -apacity#Entrepreneurial -apacity#•  Intellectual *roperty %ights I*%" )awIntellectual *roperty %ights I*%" )aw

    and Enforcement#and Enforcement#•  &acilitation for 1omen Entrepreneurs&acilitation for 1omen Entrepreneurs%%

    Entrepreneurial

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    GEM research activitiesGEM research activities

    • Adult population surveysAdult population surveys  Random sample of adults, 2,000 or moreRandom sample of adults, 2,000 or more Identify grass roots entrepreneurial activityIdentify grass roots entrepreneurial activity 

    • National expert interviewsNational expert interviews Completed y national teamsCompleted y national teams !"#$0 per country!"#$0 per country

    • National expert questionnairesNational expert questionnaires  %ollows personal interview%ollows personal interview

    &tandardi'ed, multi#item indices&tandardi'ed, multi#item indices

    • Standardized national dataStandardized national data I(%, )orld *ank, +, -EC., etc/I(%, )orld *ank, +, -EC., etc/

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    !otal entrepreneurial activity !E." index!otal entrepreneurial activity !E." index

    •*ased on survey of adults in the population*ased on survey of adults in the population

    • Count those in start#up processCount those in start#up processctivective)ill own all or part of the usiness)ill own all or part of the usiness

     o salary1wage payments for over months o salary1wage payments for over months• Count those owning1managing a new firmCount those owning1managing a new firmctive in managementctive in management-wn all or part of the usiness-wn all or part of the usiness

    &alary1wage payments #32 months&alary1wage payments #32 months• dd them together for the 4E inde5dd them together for the 4E inde5Count once if person doing oth, as 67 areCount once if person doing oth, as 67 are

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    !otal entrepreneurial activity !E." by country!otal entrepreneurial activity !E." by country

       ?  a  p  a  n

       @  u  s  s   i  a

         e   l  g   i  u  m

       #  r  a  n  c  e

       A  o  n  g   ,  o  n  g

       $  r  o  a   t   i  a

       *  "  e   d  e  n

       $   h   i  n  e  s  e   T  a   i  p  e   i

       9  o   l  a  n   d

       #   i  n   l  a  n   d

       ;  e   t   h  e  r   l  a  n   d  s

       *   l  o  v  e  n   i  a

       *  p  a   i  n

       G  e  r  m  a  n  y

       +  n   i   t  e   d   ,   i  n  g   d  o  m

       3   t  a   l  y

       *   i  n  g  a  p  o  r  e

       =  e  n  m  a  r   !

       *  o  u   t   h        r   i  c  a

       A  u  n  g  a  r  y

       3  s  r  a  e   l

       *  "   i   t  B  e  r   l  a  n   d

         u  s   t  r  a   l   i  a

       ;  o  r  "  a  y

       $  a  n  a   d  a

       3  r  e   l  a  n   d

       + %   * %    %    3  c

      e   l  a  n   d

       $   h   i  n  a

       M  e  :   i  c  o

         r  a  B   i   l

       ;  e  "

       C  e  a   l  a  n   d

         r  g  e  n   t   i  n  a

       ,  o  r  e  a

       $   h   i   l  e   3  n

       d   i  a   T

       h  a   i   l  a  n   d

          l   l   $  o  u  n   t  r   i  e  s

    .%.

    %.

    1.%.

    1%.

    2.%.

    2%.

       9  e  r  s  o  n  s   9  e  r   1   .   .  a   d  u   l   t  s

     &   1   /  -   4   5  y  r  s   <   l   d

        (   '   2   D

        $  o  n      i   d  e  n  c  e

       3  n   t  e  r  v  a   l   )

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    E / ! % E * % E / E , % I . ) . ( 0 . / ! . G E O & / . ! I O / +

    !otal entrepreneurial activity !E." by global region!otal entrepreneurial activity !E." by global region

       9  e  r  s  o  n  s   9  e  r   1   .   .  a   d  u   l   t  s &

       1   /  -   4   5  y  r  s   <   l   d

        (   '   2   D

        $  o  n      i   d  e  n  c  e

       3  n   t  e  r  v  a   l   )

       ?  a  p  a  n   A

      o  n  g   ,  o  n  g

       $   h   i  n  e  s  e   T  a   i  p  e   i

       *   i  n  g  a  p  o  r  e

       @  u  s  s   i  a

       $  r  o  a   t   i  a

       9  o   l  a  n   d

       *   l  o  v  e  n   i  a

       A  u  n  g  a  r  y

         e   l  g   i  u  m

       #  r  a  n  c  e

       *  "  e   d  e  n

       #   i  n   l  a  n   d

       ;  e   t   h  e  r   l  a  n   d  s

       *  p  a   i  n

       G  e  r  m  a  n  y

       +  n   i   t  e   d   ,   i  n  g   d  o  m

       3   t  a   l  y

       =  e  n  m  a  r   !

       3  s  r  a  e   l

       *  "   i   t  B  e  r   l  a  n   d

       ;  o  r  "  a  y

       3  r  e   l  a  n   d

       3  c  e   l  a  n   d

       *  o  u   t   h        r   i  c  a

         u  s   t  r  a   l   i  a

       $  a  n  a   d  a

       + %   * %    %

       ;  e  "

       C  e  a   l  a  n   d

       M  e  :   i  c  o

         r  a  B   i   l

         r  g  e  n   t   i  n  a

       $   h   i   l  e

       $   h

       i  n  a   ,

      o  r  e  a

       3  n   d   i  a

       T   h  a   i   l  a  n   d

    .%.

    %.

    1.%.

    1%.

    2.%.

    2%.

     

       G  r  o  u  p     v  e  r  a  g  e

       G  r  o  u  p     v  e  r  a  g  e

       G  r  o  u  p     v  e  r  a  g  e

       G  r  o  u  p     v  e  r  a  g  e

       G

      r  o  u  p     v  e  r  a  g  e

       G  r  o  u  p     v  e  r  a  g  e

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    E / ! % E * % E / E , % I . ) . ( 0 . / ! . G E O & / . ! I O / +

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    E / ! % E * % E / E , % I . ) . ( 0 . / ! . G E O & / . ! I O / +

    Opportunity2based entrepreneurialOpportunity2based entrepreneurial

    activity by countryactivity by country

       ?  a  p  a  n

       @  u  s  s   i  a

         e   l  g   i  u  m

       $  r  o  a   t   i  a

       A  o  n  g   ,  o  n  g

       #  r  a  n  c  e

       9  o   l  a  n   d

       *  "  e   d  e  n

       $   h   i  n  e  s  e   T  a   i  p  e   i

       3   t  a   l  y

       *   l  o  v  e  n   i  a

       *  o  u   t   h        r   i  c  a

       *  p  a   i  n

       #   i  n   l  a  n   d

       G  e  r  m  a  n  y

       A  u  n  g  a  r  y

       ;  e   t   h  e  r   l  a  n   d  s

       +  n   i   t  e   d   ,   i  n  g   d  o  m

       *   i  n  g  a  p  o  r  e

       3  s  r  a  e   l

       $   h   i  n  a

         r  a  B   i   l

       =  e  n  m  a  r   !

       *  "   i   t  B  e  r   l  a  n   d

         u  s   t  r  a   l   i  a

         r  g  e  n   t   i  n  a

       $  a  n  a   d  a

       ;  o  r  "  a  y

       3  r  e   l  a  n   d

       M  e  :   i  c

      o

       $   h   i   l  e

       3  c  e   l  a  n   d

       ,  o  r  e  a

       + %   * %    %

       ;  e  "

       C  e  a   l  a  n   d

       3  n   d   i  a

       T   h  a   i   l  a  n   d

          l   l   $  o  u  n   t  r   i  e  s

    .%.

    2%.

    5%.

    4%.

    /%.

    1.%.

    12%.

    15%.

    14%.

    1/%.

    2.%.

       9  e  r  s  o  n  s   9  e  r   1   .   .  a   d  u   l   t  s &   1

       /  -   4   5  y  r  s   <   l   d

        (   '   2   D

        $  o  n      i   d  e  n  c  e   3  n   t  e  r  v  a   l   )

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    E / ! % E * % E / E , % I . ) . ( 0 . / ! . G E O & / . ! I O / +

    /ecessity2based entrepreneurial/ecessity2based entrepreneurial

    activity by countryactivity by country

       #

      r  a  n  c  e

       *  p  a   i  n

         e   l  g   i  u  m

       #   i  n   l  a  n   d

       =  e  n  m  a  r   !

       ;  o  r  "  a  y

       3   t  a   l  y

       ?  a  p  a

      n   ;  e   t   h  e  r   l  a  n   d  s

       @  u  s  s   i  a

       $   h   i  n  e  s  e   T  a   i  p  e   i

       *  "  e   d  e  n

       +  n   i   t  e   d   ,   i  n  g   d  o  m

       $  r  o  a   t   i  a

       3  c  e   l  a  n   d

       *   i  n  g  a  p  o  r  e

       *  "   i   t  B  e  r   l  a  n   d

       $  a  n  a   d  a

       G  e  r  m  a  n  y

       + %   * %    %

       A  o  n  g   ,  o  n  g

       9  o   l  a  n   d

       3  r  e   l  a  n   d

       3  s  r  a  e   l

       *   l  o  v  e  n   i  a

         u  s   t  r  a   l   i  a

       A  u  n  g  a  r  y

       ;  e  "

       C  e  a   l  a  n   d

       *  o  u   t   h        r   i  c  a

       M  e  :   i  c  o

       T   h  a   i   l  a  n

       d

       ,  o  r  e  a

       3  n

       d   i  a

       $   h   i   l  e

       $   h   i  n  a

         r  g  e  n   t   i  n  a

         r  a  B   i   l

          l   l   $  o  u  n   t  r   i  e  s

    .%.

    1%.

    2%.

    0%.

    5%.

    %.

    4%.

    %.

    /%.

    '%.

    1.%.

       9  e  r  s  o  n  s  p  e  r   1   .   .      d  u   l   t  s &   1   /  -   4   5     r  s  o   l   d

        (   '   2   D

        $  o  n      i   d  e  n  c  e   3  n

       t  e  r  v  a   l   )

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     The GEM Research Methodology The GEM Research Methodology

    • 3n order to assess the supportiveness o entrepreneurial rame"or!3n order to assess the supportiveness o entrepreneurial rame"or!

    conditions in a country& it "as necessary to deine the 15conditions in a country& it "as necessary to deine the 15components o E#$% =ata "ere collected by an internationalcomponents o E#$% =ata "ere collected by an internationalconsortium o researchers%8consortium o researchers%8

    1%1%  #inancial *upport to ;e" #irms#inancial *upport to ;e" #irms2%2% Government 9olicy on ;e" #irmsGovernment 9olicy on ;e" #irms

    0%0% Government 9rograms or ;e" #irmsGovernment 9rograms or ;e" #irms

    5%5% Education and Training *upportEducation and Training *upport%% @esearch and =evelopment Transer@esearch and =evelopment Transer

    4%4% $ommercial& egal and 9roessional 3nrastructure$ommercial& egal and 9roessional 3nrastructure

    %% Mar!et