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What we learnt and the way forwardWhat we learnt and the way forward

Roy ThurikCASBEC (Erasmus University Rotterdam), EIM/Panteia (Zoetermeer), Max Planck

Institute (Jena) and Free University Amsterdam

Instituto de Estadistica de Andalucia/Universidad de Huelva‘2nd workshop on entrepreneurship statistics’

17-18 November 2008, Hotel El Rompido-Golf, Huelva

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FrameworksFrameworks

• Mata

• Compendia (van Stel et al)

• OECD et al (dynamics)

• Instituto de Estadistica de Andalucia (superset approach, cf OECD/FORA)

• Lundström and Stevenson (policy orientation)

• Eclectic framework (2002, 2007, 2009)

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José Mata’s dreamJosé Mata’s dream

• Longitudinal data

• Inputs and outputs (causality)

• Control groups

• Unit of observation– Entrepreneur (process)– Venture– Support activities (m&m)

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FrameworksFrameworks

• Mata

• Compendia (van Stel et al)

• OECD et al (dynamics)

• Instituto de Estadistica de Andalucia (superset approach, cf OECD/FORA)

• Lundström and Stevenson (policy orientation)

• Eclectic framework (2002, 2007, 2009)

Technology Developments

Demand Shifts

Resource Availability

Demographics

Culture

Choice Filter

Entrepreneurial Option

Outside Option

Business Opportunities

Incumbents

Potential New Firms (Latent

Entrepreneurship)

Capabilities

Abilities Resources

Preferences

Risk Attitudes

∆E

Entry

Exit

G2

G1 G6

G3 G4 G5

Entrepreneurial Activity (Discrepancy)

E* E-E* E

Eclectic frameworkEclectic framework

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G1: demand side interventionG1: demand side intervention

• Creating room for entrepreneurship – stimulating technological developments – income policy– international relations

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G2: supply side interventionG2: supply side intervention

• Policies influencing the number of people within the population– immigration policy– family allowances / child benefits

• Policies influencing the characteristics of the people within the population– immigration policy – regional development policy (density/spread)– family allowances / child benefits (age structure)

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G3: policy influencing capabilitiesG3: policy influencing capabilities

• Policies that help increasing the resources of individuals – direct: subsidies, grants and loans

– indirect: development of the (venture) capital market

• Policies that help increasing the ability of individuals – direct: provision of ‘business’ information

– indirect: introducing aspects of entrepreneurship in the educational system

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G4: policy influencing referencesG4: policy influencing references

• Paying attention to entrepreneurship in the media; awareness activities

• Introducing entrepreneurial values in the educational system

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G5: policy directed at individual G5: policy directed at individual decision making processdecision making process

• Taxation– influencing (relative) rewards

• Social security – influencing risks

• Labour market legislation– ease of switching between types of employment

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G6: accessibility of marketsG6: accessibility of markets

• Competition policy– reduction of market power– lowering entry barriers– protection of property rights– regulation of product and labour markets– establishment requirements– bankruptcy legislation

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Eclectic frameworkEclectic framework

Risk-rewardprofile

G

G1

G5G4

G2

E

E *E-E*

entr

y / e

xit

Opportunities

ResourcesAbilities / traitsPreferences

DEMAND

SUPPLY

G3

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Data and eclectic frameworkData and eclectic framework

Risk-rewardprofile

G

G1

G5G4

G2

E

E *E-E*

entr

y / e

xit

Opportunities

ResourcesAbilities / traitsPreferences

DEMAND

SUPPLY

G3

gender, age, education

adm. complexity, fin. support, preference risk tolerance

country effects

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And now what?!And now what?!

• Framework approach

• Estadistica (OECD/FORA + Eclectic framework)

• Compendia

• Solo and quasi entrepreneurs

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What we learnt and the way forwardWhat we learnt and the way forward

Roy ThurikCASBEC (Erasmus University Rotterdam), EIM/Panteia (Zoetermeer), Max Planck

Institute (Jena) and Free University Amsterdam

Instituto de Estadistica de Andalucia/Universidad de Huelva‘2nd workshop on entrepreneurship statistics’

17-18 November 2008, Hotel El Rompido-Golf, Huelva