Entrepreneurship has emerged from people's permanent desire to meet their own needs, namely the permanent capacity to adapt to the new technological challenges of the markets and to create new elements to meet the needs of the market. Due to their innovative nature, entrepreneurs persist in discovering new sources of documentation to continually improve their activities. For the sustainable development of small businesses, especially in rural areas, the role of entrepreneurs is determined by their knowledge capacities in terms of supply, the cost of their products and services, and the mobilization of financial resources in the development of new businesses or the expansion of existing businesses.
I think these two constructs emerge when we have skillful, knowledgeable and hardworking human resource. therefore, human resource is like a foundation of these two constructs.
Regarding this topic, I would like to invite you to read a work of my authorship, put a focus on small productive organizations and the development of small cities.
https://www.researchgate.net/publication/305469605
Thank you Saeid! Certainly the human resource is the basis for entrepreneurship and innovation, but in harmony and in a direct relationship with the material, social and informational resource. All the best!
Thanks for your answer Federico and for the indicated your research paper! Entrepreneurship is indeed very common in the development of small businesses, but we cannot mention successful entrepreneurs like Elon Reeve Musk. All the best!
Yes. Entrepreneurship and innovation development will lead to economic growth not only at the local level but globally as well. Entrepreneurs in any field will rule the world in the future.
Hi, without any doubt it helps. The question is to what extend Entrepreneurship and innovation will help. My thinking is that it depends on the environment surrounding the venture.
For example, in a big city, with technological development, and if the new business is a digital one; the contribution could be exponential.
On the other hand, if the venture is in a rural area, with low connection capabilities, and the business is more physical than digital, the impact would be lower.
No matter, the entrepreneur could research and incorporate some state of the art technology to the venture in order to explode its potential.
I agree with you Ricardo! Entrepreneurs' initiatives depend on many internal as well as external factors! Moreover, urban and rural areas have a direct impact on entrepreneurship as a result of the resources to which entrepreneurs are connected. All the best!
Entrepreneurship in rural areas, especially amongst the poor, is heavily influenced by asymmetry of information. Entrepreneurship in rural areas is more like a social problem than a business problem and therefore information asymmetry takes on greater importance. Agree on importance of capital, true for any entrepreneur anywhere. I would add physical distribution as issue if entrepreneurship is not a digital product/solution. Internet access also important for both information and physical resource access.
I would also make a distinction between small business and sole proprietor entrepreneurs. Small businesses have assets such as shops, restaurants, warehouses and factories. Sole proprietors are digital agents operating as project workers, consultants, Amazon arbitrageurs, YouTube video channel developers, remote digital workers. A craftsman might be in this group also. (Sole proprietor is what many call “gig” economy.)
I think approach and resources may be quite different between small business owner and sole proprietor remote digital worker.
Thank you for your response and opinion Heather. Moreover, the aspect mentioned by you that we must "recognize that not all entrepreneurship focuses on the production of commercial goods and services for individual profit. Some entrepreneurs work very well to advance a social agenda. Their goal is either to improve the situation of disadvantaged people or to change the world. This form of entrepreneurship always generates a form of change through innovation. It can embrace technology, but not always. "These arguments are very welcome and I agree with you, especially when we talk about different forms of entrepreneurship. All the best!
Thank you for your response and your opinion Robert, especially given that you have reached "Entrepreneurship in rural areas", especially in the current context of two directions, namely 1) the social and financial inclusion in rural areas and 2) the development of family farms in the context of safety and food security.
Moreover, the issues that you mentioned about "physical distribution" and "entrepreneur distinction" are very clearly mentioned and appreciated, especially in the global context of digitization and the emergence of fintech services that support entrepreneurship. All the best!
Entrepreneurship and innovation are truly important to economic development.
Innovations leads to Entrepreneurship & commercialization of creative ideas, which is good for sustainable economy if supported and performed at small, medium and micro level as well...
Many special thanks! The relationship between innovation and entrepreneurship is reversible and in fact leads to the "marketing of creative ideas" with an impact on sustainable local development and global impact.
All the best!
The entrepreneurial spirit and innovation, are essential, although not the only determinants, for the economic development of a region, now the most important thing is to promote this spirit to achieve the advancement of enterprises so that they become companies, and generate a greater flow of resources
Totally agree with you Rubén about entrepreneurship and innovation, and not only! All the best!
The entrepreneurial vocation is what should be encouraged, if the development of a territory is desired. Encourage entrepreneurship!
Agree with you Alicia! The "entrepreneurial vocation" must be sustained and encouraged being the heart of small business development, essential in a globalized world in which we must constantly adapt to innovations.
Otilia P. Manta supporting innovation and entrepreneurship as you do, is the way to the development of territories.
I strongly agree with both of Prof. Rubén Corvalán & Prof. Alicia Susana Cuevas ...
Well said about entrepreneurship and innovation the core of sustainable economic development at local and global level......
Many special thanks for your answer and Merry Christmas! All the best, Otilia
Merry Christmas and a prosperous new year 2020. and may entrepreneurial vocations flourish for the common good.!
Dear Colleagues and Friends from RG,
The above question inspired me to the following considerations:
The development of eco-innovations is a key factor for sustainable economic development.
In connection with the globar warming process, confirmed by climatologists, which is progressing faster and faster, it is necessary to increase the scale of implementation of pro-ecological economic reforms. It is necessary to create and implement ecological innovations as part of the implementation of the idea of ??the need to develop sustainable pro-ecological economic development conducted in accordance with the green economy philosophy. One of the key factors for developing sustainable eco-friendly economic development is the implementation of ecological innovations in economic processes and increasing the scale of pro-ecological reforms implemented in the energy sectors and other branches of the economy of individual countries, developing eco-friendly investments as part of ecological state interventionism, financed from sources of green finance . However, the real actions so far have been very limited. Only some countries of the world have committed, for example, to significantly reducing greenhouse gas emissions and increasing the scale of financial resources allocated to the implementation of ecological innovations and carrying out pro-ecological reforms in the energy sector, including primarily the development of energy based on renewable energy sources. In view of the above, it is also important to include in the above discussion also the following issue:
It is necessary to develop ecological innovations to achieve climate neutrality planned for 2050.
In view of the above, it is also important to include the following issue in the above discussion: Determining the key determinants of the development of ecological innovations and actually increasing the scale of their implementation in various branches of the economy to save the planet Earth from a possible climate Armageddon, which may occur at the end of the 21st century in connection with the faster a progressive global warming process. Quick actions in the area of ??pro-ecological reforms, creating eco-innovations and their efficient implementation in economic processes as an important factor of sustainable pro-ecological development carried out in accordance with the green economy philosophy are necessary. It is necessary to increase international cooperation in this matter and the commitment of individual countries to real action in this matter, i.e. increase in financial expenditure on implementing environmentally friendly reforms in the energy sectors and other branches of the economy. The first significant step in this matter has already been achieved. The European Union will achieve climate neutrality by 2050. The European Union plans to create 100% energy by 2050. based solely on renewable energy sources. On 13.12.2019, the first significant step was finally achieved in the area of ??real actions, i.e. political decisions regarding the development of pro-ecological international cooperation and binding commitments regarding the implementation of the principles of sustainable pro-ecological development. The European Union has committed itself to achieving climate neutrality by 2050.
The above discussion inspired me to formulate the following question:
What are the key determinants of the development of ecological innovations for achieving climate neutrality planned for 2050?
In my opinion, the issue of creating and developing eco-innovations is an important determinant of the possibility of achieving climate neutrality planned for 2050. Based on the above considerations and conclusions from the discussion on interesting issues discussed, I formulated the following thesis that it is necessary to create and develop ecological innovations, which are an important determinant of the possibility of achieving climate neutrality planned for 2050. It is necessary to increase state expenditure, including from public finance, in order to increase the scale of pro-ecological state intervention involving, among others, financing new development and research projects that will result in the creation and implementation of ecological innovations in energy sectors and also in various other branches economy.
Below I have described the key determinants confirming the formulated research thesis. To the above discussion I would like to add the following conclusion formulated as a summary of my previous considerations on this topic: The main determinants of the possibility of increasing financial expenditure from greek finance sources for development and research projects that will result in the creation of new ecological innovations as factors enabling the achievement of climate neutrality planned by the European Union until 2050.
Promoting the idea of ??the principles of sustainable pro-ecological development, including the implementation of eco-innovations into economic processes should be an important factor in current information globalization carried out through various media, including internet media and social media portals. More and more institutions promoting the principles of sustainable pro-ecological economic development are operating nationally. Development of international cooperation in order to better and more effectively integrate political, business and social activities in the scope of implementation of the principles of sustainable proecological economic development, dissemination of the green ecology philosophy, introduction of ecological innovations, including reforming the energy sector and development of renewable energy sources, development of electromobility, improvement of waste segregation, the development of recycling is insufficient, it is too small. Therefore, the transfer of technology and innovation, including ecological innovations between individual countries should be improved and developed.
In order to increase the global scale of implementation of ecological innovations in business processes, it is necessary to improve the logistics of international transfer of ecological technologies. In my opinion, environmental policy should be internationally synchronized. There should be greater compliance and supranational cooperation on the implementation of ecological innovations into economic processes, pro-ecological reforms in the energy sector, reduction of greenhouse gas emissions and improvement of recycling processes, waste segregation and reclamation of natural environment degraded by the industry development. Supranational institutions such as the United Nations, World Bank etc. should become more important in coordinating the resolution of global problems such as the ongoing global warming process.
An example of the particularly high importance of international cooperation for the dissemination of sustainable pro-ecological development is cooperation between countries in Europe, which is coordinated by international institutions and institutional bodies of the European Union. However, what does this issue look like on a global scale? Is international cooperation on a global scale sufficient or should it be increased? Legal norms are introduced in the European Union, which force individual countries to introduce pro-ecological reforms, e.g. in the energy sector and packaging production, in electromobility, etc. Such problems can be solved by international cooperation. This international cooperation should develop not only in Europe but on a global scale, because the global warming process applies to the entire globe. In recent years, also some financial institutions, such as the World Bank, have been allocating increasing amounts of money for pro-ecological investments.
More and more institutions are becoming propagators of the necessary introduction of the principles of sustainable development, however, the scale of actions implemented in order to promote sustainable ecological development is still too small.
On December 13, 2019, important news was announced in the media: New Green Deal adopted. This date will go down in history. By 2050, the European Union will achieve climate neutrality, i.e. the increase in greenhouse gas emissions is expected to be stopped and the emissions should be at the absorbed level. Below, I describe the key issues that determined these political activities in the European Union. In my opinion, due to the fact that the European Union plans to create 100% energy by 2050. based solely on renewable energy sources, so the importance of eco-innovations, financing their creation and implementation in business processes is growing significantly. I believe that it is necessary to develop ecological innovations to achieve climate neutrality planned for 2050. Thanks to the development of ecological innovations in the energy sectors, obtaining clean water, waste segregation, improving recycling, development of electromobility, energy storage, development of ecological agriculture, etc., the plan adopted by the European Union to achieve climate neutrality planned for 2050 can be fully realistic. It is a pity that not all countries in Europe have signed this agreement that undertakes to implement this plan. Poland is a country that does not want to commit itself to implementing this plan, which is very important for humanity in the 21st century. I am very sorry about that. In my opinion, it is not fair that not all countries want to commit to this plan. In my opinion, the plan adopted by the European Union for achieving climate neutrality planned for 2050 can be fully realistic if ecological innovations are developed and implemented in the energy sector and various other branches of the economy. According to the adopted plan, the European Union will achieve climate neutrality by 2050, i.e. the growth of greenhouse gas emissions is to be stopped and the emission should be at the absorbed level. The key issue is the correct interpretation of the arrangements for answering the question: what is this climate neutrality supposed to be? - because incorrect interpretations of these findings are already appearing in the media. Experts advising EU decision-making bodies probably count on the fact that by 2050 all Europe will be afforested and most of agriculture and industry will emigrate outside Europe. Afforestation will create forests in which genetically modified trees will absorb several times more CO2 than at present and only electric and / or hydrogen-powered cars will drive on the roads, and many new ecological innovations will be created that we do not yet know.
Every now and then conferences and climate summits take place in various countries around the world. In principle, everyone agrees on the importance of implementing the necessary ecological reforms in economic processes. In addition to representatives of energy extracting companies for the needs of traditional energy industry consisting in the burning of minerals and these traditional power plants, probably everyone agrees that in order to slow down unfavorable for the natural environment, for life on Earth, progressing global warming processes should be implemented as soon as possible pro-ecological reforms, in especially on a larger scale to develop renewable energy sources. In addition, pro-ecological innovations on an industrial scale should be implemented as soon as possible. Therefore, during the mentioned conferences and climate summits in various countries of the world, the principles of sustainable pro-ecological development conducted according to the Greek economy philosophy and the need to give the plan of achieving climate neutrality planned for 2050 particularly high priority and indicate the need to increase the scale of implementation should be promoted this plan to the global dimension. The need to develop and implement eco-innovations in economic processes should also be promoted to increase the possibilities of achieving climate neutrality planned for 2050 not only in Europe but also on a global scale.
One of the last climate summits of this type took place in Katowice, Poland in December 2018. It was the UN climate summit, i.e. COP (Conference of the Parties) regarding climate policy on Earth. UN climate peaks, i.e. COP (Conference of the Parties) are global conferences during which climate policy activities are negotiated. Poland hosted them twice - in 2008 in Poznań and in 2013 in Warsaw. In December 2018, the climate summit was held for the first time in Katowice, Poland. During this summit, conferences were held, discussions are held on the need to develop a sustainable development policy and the need for the development of ecological, renewable energy sources in order to generate future reductions in greenhouse gas emissions and ultimately limit the rise in average annual temperature on the Earth's surface. As part of the aforementioned UN Climate Summit of December 2018, the 24th Conference of the Parties to the United Nations Framework Convention on Climate Change (COP24) took place, 14. The Meeting of the Parties to the Kyoto Protocol (CMP 14) and the Conference of Signatories of the Paris Agreement (CMA 1). About 20,000 people from 190 countries participated in the event, including politicians, representatives of non-governmental organizations as well as scientific and business circles.
However, the significance of this climate summit was limited to the promotion of environmental problems and nothing more, because no significant international agreements were signed at that time, in which individual countries would commit to a significant increase in expenditure on implementing ecological reforms in the energy sectors, including the conversion of classic energy based on the burning of minerals for environmentally neutral energy based on renewable energy sources. Not much was then discussed about the possibilities of implementing eco-innovations developed in the field of electricity production in small home power plants, e.g. through the development of financing programs and installation of photovoltaic panels on single-family houses and other buildings, as well as selling overproduction of this energy to large power plants.
Discussions conducted during the mentioned conferences and climate summits show that it is necessary to develop ecological innovations, new pro-ecological energy sources and the development of electromobility of means of transport. The development and implementation on a massive scale of renewable energy sources is essential. In addition, it is important to increase the scale of afforestation, because forests and the flora they contain absorb a large proportion of greenhouse gas emissions. Unfortunately, probably the only main positive effect of these conferences and climate summits is the promotion in the media of the need for these pro-ecological reforms. On the other hand, the scale of actions taken in this direction, the scale of growth of expenditure supported by subsidies from state budgets for the development of energy based on renewable energy sources, the development of electromobility, improvement of waste sorting and recycling processes is still small in relation to the needs of sustainable pro-ecological development conducted according to the green economy philosophy. In my opinion, the development of international cooperation to more and more effectively integrate political, business and social activities in the implementation of the principles of sustainable proecological economic development, dissemination of the green ecology philosophy, introduction of ecological innovations, including reforming the energy sector and the development of renewable energy sources, development of electromobility, improving segregation waste, recycling development is insufficient, it is still too small.
Well, large, the largest enterprises in the country managing power plants generating over 95 percent. electricity based on the combustion of minerals, mainly hard coal and lignite, is controlled by either the Treasury or foreign companies. Therefore, it is possible to develop pro-ecological state interventionism. However, this pro-ecological state interventionism is not really properly developed and conducted. Advertising spots broadcast as part of social campaigns run, funded by the state and suggesting to citizens that large energy companies are developing large-scale renewable energy sources are published in the media. While in reality they are companies using monopolistic practices and blocking the possibility of implementing energy eco-innovations. The fact that there are subsidies from the European Union under which it is possible to co-finance the installation of a single-family house, multi-family house or other photovoltaic panels or solar water heating system is only due to the fact that Poland is a member of the European Union and is obliged to implement this minimum of pro-ecological reforms in the energy sector. However, environment and climate neutral energy based on renewable energy sources will not develop on a massive scale if large energy companies that usually produce over 95% or over electricity based on the combustion of minerals will be able to continue to use their monopolistic practices. As part of the use of monopolistic practices, the largest energy companies that dominate the domestic energy sector use uncompetitive pricing policy directed at prosumers of electricity, i.e. households that simultaneously consume and produce electricity.
Uncompetitiveness of the pricing policy directed at prosumers of electricity lies in the fact that citizens for the surplus of electricity produced paid to these energy companies receive in the settlement of bills for the used and generated electricity only only half of the rate of what they have to pay for the consumption of electricity generated by these large energy companies. In addition, this type of pricing policy is also applied to companies that have set up wind farms or built photovoltaic power plants and began to divert surplus electricity produced to the largest power plant management companies dominating in the domestic energy sector. Therefore, the construction of wind farms and solar plant is still not profitable. The issue of this low economic profitability is the result of the current energy policy consisting in supporting mainly large energy enterprises dominating in the domestic energy sector, generating over 95 percent. electricity based on coal and lignite combustion and much less support under pro-ecological state intervention directed at other entities, including smaller companies operating in various sectors of the economy and households that could generate electricity on a much larger scale based on the development of renewable energy sources.
The results of research conducted by independent climatologists published in recent years show that in recent years the process of global warming of the Earth's climate has significantly accelerated, and therefore in the black scenario of future climate changes the temperature on the Earth's surface may rise by 4 ° C by the end of the 21st century. Should this happen, then the scale of dangerous natural disasters, including droughts, floods, fires and weather anomalies in many places of the globe will increase many times over. The problem is very serious globally and therefore a lot depends on whether international cooperation will develop in order to solve these problems and reduce their negative effects. In view of the above, it is necessary to change the development strategy based on intensifying the exploitation of Earth's resources into a strategy of sustainable development. It is necessary to develop new renewable energy technologies to slow down the progressive greenhouse effect of the Earth, to reduce the risk of emerging dramatic natural disasters. It is necessary to develop eco-innovations while it may not be too late. It is necessary to save the Earth from destruction for future generations.
In view of the above, the 21st century is the last moment to introduce global sustainable development based on the development of renewable energy and ecological innovations. Sustainable development should be analyzed and measured in correlation with the analysis of economic growth and the participation of individual sectors in the country's economic development, including the transformation of traditional energy sources into renewable energy, environmental reclamation and recovery of recyclable materials, and the creation of ecological innovations. In individual countries, the scale of pollution and degradation of the natural environment varies significantly, which is mainly related to the level of implementation of the principles of sustainable pro-ecological development in accordance with the green economy philosophy. The scale of pollution and degradation of the natural environment varies across countries, organizational cultures, economic systems, etc. The rate of economic growth, people's standard of living and the issue of environmental reforms, systemic instruments for environmental protection and other elements of implementing sustainable development principles also affect the scale of pollution and degradation. the environment, including greenhouse gas emissions. There are also different geographical conditions, terrain, geological, climatic and natural conditions, which may be a factor determining the selection of specific types of energy sources developed based on renewable energy sources. This is an important issue because in individual countries the above-mentioned determinants are developed to varying degrees. Therefore, there are different conditions in individual countries for the development of specific types of energy based on renewable energy sources. However, in many countries, regardless of the climate zone, solar power plants are built with solar panels.
On the other hand, the problem of increasing greenhouse gas emissions and the global warming process that is progressing faster and faster is a global problem. Therefore, international cooperation should be developed in the field of development of energy based on renewable energy sources, including, among others, in supporting less economically developed countries to also develop solar energy successively replacing traditional energy based on combustion of minerals. In addition, technological development is gradually contributing to the creation of more and more perfect photovoltaic panels that can produce electricity not only in climatic zones characterized by high sunlight. Currently mounted on the roofs of houses and industrial buildings, production halls etc. modern photovoltaic panels can produce electricity even in a moderate climate zone in low sunlight, in cloudy weather. Due to this, installations and gyms equipped with photovoltaic panels can be built almost all over the world in order to develop pro-ecological energy based on renewable energy sources. In my opinion, wherever possible, solar energy should be developed as the most neutral for the natural environment.
In my opinion, one of the key determinants of developing sustainable ecological development is the issue of protecting natural biodiversity, including protecting natural biological ecosystems and developing afforestation programs for civilization-degraded areas. The protection of biodiversity of natural biological ecosystems is one of the main challenges of sustainable ecological development to be implemented in the 21st century. However, the problem is the implementation of the principles of sustainable pro-ecological development into commercially implemented business processes. It is not easy to combine the green economy philosophy with the foundation of commercially operating business processes, i.e. classic economics. It is necessary for business communities to cooperate with other types of organizations, including pro-ecological social institutions and the world of science.
One of the most important elements of the necessary ecological reforms is the development of energy generating electricity based on renewable energy sources. Unfortunately, in my country still 80 percent. energy in Poland is generated from coal combustion. Unfortunately, my country has not signed a commitment agreement on climate neutrality by 2050, i.e. a commitment to transform the energy sector to 100% by 2050. produce energy based solely on renewable energy sources. I am very sorry about that. I am ashamed of my government that has not signed this agreement. I'm very sorry. In the future, my children and grandchildren will read in history textbooks about this inglorious, wrong decision of my government. Another important question that now appears is: When all the countries of the world sign an analogous agreement and commitment that they will achieve climate neutrality by 2050, i.e. all greenhouse gas emissions, including mainly CO2, will be absorbed, i.e. they will not be realistically generated by human excess greenhouse gas emissions to the atmosphere?
In line with the above, in my opinion, all countries in the world should sign an analogous agreement as soon as possible and commit themselves to achieving climate neutrality by 2050, i.e. all greenhouse gas emissions, including mainly CO2, will be absorbed, i.e. there will be no real human-generated surplus emissions greenhouse gases into the atmosphere. In this way, it would be possible to significantly slow down the faster and faster global warming process and avoid the climate disaster forecast by climatologists, more often referred to as climate Armageddon, which may occur at the end of the 21st century, if humanity fails to take appropriate quick actions regarding the implementation of pro-ecological reforms in energy and other branches of the economy.
In connection with the above, it is necessary to develop ecological innovations to achieve climate neutrality planned for 2050. All countries in the world should join the programs for the development of eco-innovations, taking into account the real increase in the scale of implementing eco-innovations in various branches of the economy in order to gradually reduce and reduce greenhouse gas emissions. A significant reduction in greenhouse gas emissions in the Global Room is a major factor in saving planet Earth from a possible climate Armageddon, which may occur at the end of the 21st century in connection with the increasingly rapid global warming process. Therefore, it is widely accepted that efficient, nationally, internationally and globally, actions are necessary in the field of pro-ecological reforms, creation of ecological innovations and their efficient implementation in economic processes as an important factor of sustainable pro-ecological development conducted in accordance with the green economy philosophy . It is necessary to increase international cooperation in this matter and the commitment of individual countries to real action in this matter, i.e. increase in financial expenditure on implementing environmentally friendly reforms in the energy sectors and other branches of the economy. The first significant step in this matter has already been achieved. The European Union will achieve climate neutrality by 2050. The European Union plans to create 100% energy by 2050. based solely on renewable energy sources. On 13.12.2019, the first significant step was finally achieved in the area of ??real actions, i.e. political decisions regarding the development of pro-ecological international cooperation and binding commitments regarding the implementation of the principles of sustainable pro-ecological development. The European Union has committed itself to achieving climate neutrality by 2050. One of the key factors that determine the possibility of implementing this plan is the issue of the development of pro-ecological state interventionism consisting in increasing the financing of programs for the creation and implementation of ecological innovations in various branches of the economy.
Best wishes
Dariusz Prokopowicz
Many special thanks for your answer Dariusz!
Entrepreneurship - a pillar of support for the competitive development of the business environment. Business start-up and activity is evaluated in the World Bank's annual report, Doing Business, which ranks 190 countries on the basis of a set of 10 indicators, which take into account business regulation and property rights protection, as well as their effects on business, especially on small and medium-sized companies. In 2008, Romania was 48th in the world, and 10 years later, in 2018, it went down 4 positions, up to 52. In the same time period, Central and Eastern European countries have climbed a lot, over 20 of positions: Poland from 74th place in 2008 to 33rd place in 2018, Czech Republic from 56th place in 2008 to 35th place in 2018, both following Romania 10 years ago.
Almost 500,000 SMEs are active on the local market, out of a total of over 25 million small and medium-sized enterprises at EU level, the latest analysis of the European Commission valid at the level of 2018 shows SMEs account for 99.8% of all EU firms in the non-financial sector, with a similar share in Romania.
"The importance of SMEs in the economies of the member countries varies strongly. For example, the EU average in 2018 was 58 SMEs per 1,000 inhabitants, but at the level of member countries there were strong variations, from 29 small and medium-sized enterprises in the case of Romania, to 115 in the Czech Republic”, according to the report annual report of the European Commission published in October 2019. The local market is not only the last place, but also far from the next ones, namely Germany (35 SMEs per 1,000 inhabitants) and Great Britain (38). What is interesting to note, however, is that the countries in the region of Central and Eastern Europe, those with which Romania is "struggling" in terms of development, average wages or GDP per capita are actually much better placed in terms of regards the indicator of the number of SMEs per 1,000 inhabitants.
Funding programs "Romania Start Up Plus" and "Diaspora Start-Up: Find out how many new businesses have been set up and in which areas!” are supporting tools for developing entrepreneurship. Over 8,700 new businesses have been set up through these funding lines, within the 205 projects implemented by the grant managers selected by the Ministry of European Funds, according to data published in August 2019.
In total, the start-ups set up benefit from approximately 384.2 million euros of non-reimbursable European funds for starting and developing the activity and creating at least 2 jobs each. Thus, it is expected that in the next period, the new businesses will generate 17,430 new jobs in the 7 less developed regions of Romania. Most start-ups funded from European funds through RSUP and the Diaspora are in the Center region, with 1,562. Next to the top is the second region of South-Muntenia with 1,418 start-ups, followed by South-West Oltenia with 1,307. In the North-West region there are 1,243 new businesses, followed by the South-East with 1,182, North-East with 1,066, the West region having 937 start-ups set up from European funds. The North-West region is noted by the fact that most of the businesses established are in the IT field, being also the only one in which this field of activity is in the top 3 of the preferences of the entrepreneurs who set up their businesses through these two financing lines. Start-up Nation component settled through Romania Start-up Plus generated 1631 new businesses. Part of the Start-up Nation 2017 program was financed through Romania Start-up Plus through funding attracted by the Ministry for the Environment of Business, Trade and Entrepreneurship. According to the situation presented by the Ministry of European Funds, 1631 businesses were set up that created 4253 new jobs.
Merry Christmas and a wonderful New Year 2020 with your loved ones!
Kind regards,
Otilia
Congratulations! My best wishes for this 2020 for all the participants in this forum.
Dear Colleagues and Friends from RG, In my opinion, in many countries, entrepreneurship and innovation are currently the basis for sustainable economic development at local and global level, usually only to a limited extent. In connection with the progressing climate change, including the progressing global warming process, the governments of individual countries should increase the scope of environmental protection policy and the pro-ecological policy of the transformation of the energy sector, communication sectors, agriculture, etc. as part of the socio-economic policy directed towards a pro-ecological policy of sustainable development economic, including the policy of transforming business models of enterprises in accordance with the concept of green economy and pro-ecological, corporate social responsibility. Therefore, the governments of individual countries should improve the pro-development, pro-ecological socio-economic policy in such a way that the scale of motivating business entities operating in market conditions to develop entrepreneurship and innovation in the field of ecological innovations is effectively increased, for example by creating new solutions and technological improvements , logistics, production, etc., facilitating the effective implementation of the ecological transformation in the energy sector, consisting in replacing the classic energy based on the burning of minerals with renewable energy sources and carrying out ecological reforms, thanks to which the principles of sustainable pro-ecological development can be implemented to enterprises faster. For example, in the area of agricultural production, pro-ecological agriculture would grow faster. To make the production and dissemination of electric cars etc. develop faster in the automotive field, so it is necessary to develop pro-ecological technological innovations. Since pro-ecological reform processes should be faster than they are, the scale of pro-ecological state interventionism should be significantly increased. It is necessary to increase financial expenditure from public funds for the implementation of environmentally friendly reforms that are an important element of environmentally friendly socio-economic policy and increase the scope of implementation of sustainable development principles into enterprises.
Do you agree with me on the above matter?
Please reply.
I invite you to discussion and scientific cooperation.
Thank you very much.
Best wishes.
Dariusz Prokopowicz
Very interesting about Dr Dariusz Prokopowicz, but going back to what Otilia P. Manta started, the training and life story with family and friends is very important for new entrepreneurs to be generated for local development.
Hi, Alicia Susana Cuevas
Great answer. Family businesses are very important in the economy of each country, and the basis for new businesses.
In the current context of one of the biggest challenges of COVID 19, innovative entrepreneurship at local level can be one of the solutions for maintaining the societal balance in a collaborative economy at global level. Moreover, innovative financial solutions (such as Time Bank for example) are an instrument of innovative entrepreneurship, to which we all must contribute in an active and decisive way to supporting future generations.
We will see an answer to this relevant and important question during this COVID19 disruption:
does entrepreneurship & innovation drive the sustainability agenda forward in times of distress? I hope so, but do not know whether that really happens when we see social unrest etc in large parts of the world.
In view of the above, the participants of this discussion are dominated by the opinion that entrepreneurship and innovation can be the basis for sustainable economic development at the local and global level if specific economic undertakings are carried out in accordance with the principles of sustainable economic development.
Best regards,
Dariusz Prokopowicz
The pandemic crises and the lack of global products in some local markets, which are predominantly identified with low-wage populations (in international currency), have influenced and allowed the development of various low-complexity industrial ventures that today substitute imports.
Entrepreneurship and innovation go hand in hand and always make contributions to society in general and to the business world.
In post-conflict countries, the contribution of entrepreneurship and innovation are very essential for building peace and stability in these countries. Indeed, these are among of basic conditions to build sustainable economic development at the local and global level as well.
I do agree with you Dr Dariusz Prokopowicz. Current pandemic situation paved the way for realising the necessity of the developing entreprenurship innovatively ,creatively and sustainably. Because some innovative and creative entrepreneurs have been succeed due to Covid 19 pandemic and on the other hand some entreprenuers have been vanished from the market.
However, it is essential to uplift the entreprenuership targettting sustainableeconomic development. For that entreprenuers can be requested to calculate their own "Carbon Footprint".
@Eva Fischer What if it is possible that this can erode one of the ideologies you are referring to?
I understand that there are two different processes, one that aims at local development and the other on a larger scale that impacts global development. And according to my approach, innovation appears more natural in young people and in local development, and achieves a better articulation with the local environment and has a positive impact on sustainable development. The entrepreneurial spirit that appears in the structure of large companies, they lose their proximity to the local sphere and thus they are not responsible as much for environmental damage as young people more rooted in proximity do. For these reasons, I believe that the nucleus of sustainable economic development is only going to be recognized in local development, where people know each other, trust and feel a high degree of commitment to the long-term well-being of the place. They live and develop as people and companies in their places of life. I take this opportunity and I share with you some works that deal with these issues, I also invite you to write something together, best regards!
www.researchgate.net/publication/294894244
www.researchgate.net/publication/348886439
according to Schumpeter 1912 in his theory of economic development and his concept of innovative destruction, the answer is Yes. Innovation provides the basis for entrepreneurship and accordingly new process, products, and ideas are developed. even though things are changing these days but still this theory remains solid.
Dear Otilia,
Yes, but provided that sustainable economic development takes into account the implementation of the sustainable development goals, including pro-environmental goals of sustainable economic development.
Best wishes,
Dariusz
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