Why not start your own business?
Belgians were a bit more enterprising in 2007, according to the latest Global Entrepreneurship Monitor (GEM). Nevertheless, Belgium is still a fair way below the European average and lags far behind the global average, in terms of its level of entrepreneurial activity. Vlerick’s Professor Hans Crijns takes a positive view: “It’s not a burning issue yet, but entrepreneurship is already on the political agenda and 50% of Flemish students would like to have their own business one day. I say: go for it now and persevere.”
“Having the nerve to set up in business offers people the opportunity to fulfil their natural creative urge and guarantees continuous progress.” (Prof. André Vlerick)
The ‘missing question’
A few years ago entrepreneurship, at
best, was still associated with setting up and managing a small or medium-sized
business, but the image of entrepreneurs as “dabblers” was never very far away
either. Not exactly a stimulating climate for giving enterprising minds an
encouraging nudge. “In the past few years, however, we’ve seen a very positive
change taking place,” points out Prof. Crijns. “The terms ‘starting a business’
and ‘entrepreneurship’ are no longer taboo on the cover of a book; on the
contrary, they actually sell well. Up until 1991 even the European Commission
only had a Special Task Force on SME management, though entrepreneurship is now
an integral part of European competition policy. Ten years ago we used to ask
our students what company they’d like to work for eventually. The ‘missing
question’ was whether they wanted to set up a business of their own. Nowadays
that question is self-evident and the response is encouraging: 10% of our
Vlerick students would like to start their own business within five years and
70% see themselves doing it ‘one day’. According to a recent survey we
conducted, half of all Flemish students are toying with the idea of setting up a
business. If we check out how many of them actually go ahead, the percentage is
still extremely low, however. One of the reasons for this ‘entrepreneurial
shortfall’ is the fact that people who are more highly qualified usually have
attractive and less risky alternative options open to them. Nevertheless, the
importance of entrepreneurship is gradually getting through to people and it’s
now firmly on the political agenda. We’re daring to dream, go for it now and
persevere.”
New generation
We need companies for employment and prosperity, of course. It is just as self-evident that there is a constant need for new entrepreneurial blood, because companies sometimes go under or are competed out of the market. “Everyone understands it, but the Global Entrepreneurship Monitor also provides concrete proof,” stresses Crijns. “There’s a logical link between the level of entrepreneurship in a country or region and the growth of its GNP. The more entrepreneurship there is, the better the economic growth rate, but you need entrepreneurial minds to set up new businesses. If we compare Flanders with countries in Europe or with continents such as America and particularly Asia, it’s easy to see we’re lagging behind. People start a business out of necessity or because they see an opportunity. In Flanders that necessity is virtually non-existent; prosperity is indeed our toughest competitor, as Patricia Ceysens so eloquently put it. Necessity could be created by reviewing the social security system, but there are less painful options. Doing business is not only in our genes; it’s also part of our social and cultural norms, which can be influenced by our upbringing and education. But that takes time – at least a generation, and that’s 21 years. Policy-makers may advocate a change in mentality, but they cannot content themselves with a ‘trickling down effect’ and do nothing.”
Innovative and creative entrepreneurship
Entrepreneurship is now firmly on the political agenda. In 2000, in the Lisbon Treaty, the European Commission stated that Europe must build its competitiveness in the global economy on entrepreneurship and innovation. Linking entrepreneurship with innovation and creativity is no coincidence. “The competition model of Professor Leo Sleuwaegen shows that countries go through different phases. During the initial phase they compete on the basis of low wages, later efficiency is what counts and, finally, creativity and innovation come to the fore. Flanders now has to make the transition to phase 3. The Flemish government actually gave priority to innovation and creativity in the 2001 Vilvoorde Pact, which set down Flemish policy guidelines for the 21st century. Moreover, the government consistently opts for a supporting strategy designed to create the conditions that encourage entrepreneurship, e.g. through financial measures, infrastructure, education, etc.”
Orator magazine - March 2008