The United States of America, the Netherlands, Singapore and Finland lead the 2018 Global IDE ranking showing the best systemic conditions for the emergence of dynamic new ventures
BUENOS AIRES, ARGENTINA, 12 November 2018 – The Index of Dynamic Entrepreneurship (IDE), released today, provides key information about the social, economic, cultural, political and regulatory conditions that affect the creation of dynamic new firms, these who contribute more to economic growth and innovation. IDE adopts a systemic and evolutionary approach.
The Global Entrepreneurship Network and PRODEM released the index today as millions of people around the world prepare to take part in Global Entrepreneurship Week (GEW) events, activities and competitions in the days ahead (Nov. 12-18).
The Index of Dynamic Entrepreneurship builds on PRODEM’s previous work by combining information for more than 40 variables into 10 key dimensions, thus providing data for 60 countries around the world. The predecessor to the IDE – the Index of Systemic Conditions for Dynamic Entrepreneurship (ICSEd) – became a widely used analytical tool, mainly in Latin American countries. The new partnership with GEN looks to expand its reach to new countries.
“We hope this index will create dialogue at the regional and national level among anyone who is committed to entrepreneurial development in the world,” said Hugo Kantis, Director of PRODEM. “Our expectation is that this product will serve as a compass in the vast sea of entrepreneurship and innovation for a journey to better ecosystems.”
Policymakers and other relevant players will find orientation for the design and implementation of strategies for ecosystem development. Among the index’s highlights:
- America as well as North and Central Europe provide the best contexts for dynamic entrepreneurship, whereas Latin America and Africa show the most unfavorable ones.
- The United States, the Netherlands, Singapore and Finland lead the ranking of the best conditions for dynamic entrepreneurship.
- Better access to financing and social capital to build networks are the main advantages of the leading group regards their followers. This happens in a context of high level of development in most of the dimensions of the index.
- Only a few countries were able to reduce the distance regarding the leaders in the 2017-2012 period. They are China, Estonia, Ireland, Denmark and Hong Kong.
- Improvements in demand conditions and financing were the main sources for reducing the gap.
- Most of the reduction in the distance regards the leaders took place during the last three years, so it will be very important to follow the IDE next years to confirm whether this is a long term and sustainable trend or not.
The Index of Dynamic Entrepreneurship is the result of research and development efforts started more than 10 years ago by PRODEM, conceptually based on its pioneering studies since the late 1990s. IDE’s primary focus is on dynamic entrepreneurship – those projects and new firms that manage to survive their first years and also grow significantly with the potential for further growth.
The report is available for download from the PRODEM website at https://bit.ly/2AUT7d8.
Prodem is a think tank and a think do on dynamic entrepreneurship and ecosystems. With more than 15 years of experience, Prodem stands out for generating and transferring world-class knowledge in coordination with the actual practice of real-life actors. Prodem conducts research, studies and measurements to get an insight into the status of ecosystems, providing technical assistance and training. Prodem gives priority to the development of networks and alliances, and supports governments, international organizations and other institutions on the design and assessment of dynamic entrepreneurship programs. Prodem received the Start Up Nations for Groundbreaking Policy Thinking Award granted by the Global Entrepreneurship Network. For more information please visit: www.prodem.ungs.edu.ar
About Global Entrepreneurship Network
The Global Entrepreneurship Network (GEN) operates a platform of projects and programs in 170 countries aimed at making it easier for anyone, anywhere to start and scale a business. By fostering deeper cross border collaboration and initiatives between entrepreneurs, investors, researchers, policymakers and entrepreneurial support organizations, GEN works to fuel healthier entrepreneurship ecosystems that create more jobs, educate individuals, accelerate innovation and strengthen economic growth. For more information visit: www.genglobal.org.