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Livelihood, the main motivation for new entrepreneurship

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Livelihood, the main motivation for new entrepreneurship

A strong blow not only to the health of the population, but also to new entrepreneurship caused by the pandemic crisis, in which the rate of new business creation fell in 2021 to one of the lowest levels since 2003. At the same time, it was the pandemic and mainly government support measures that kept the so-called established entrepreneurship at a high level. , especially since the condition for using the preferential regime was that the business should not be locked up.

Successive crises she faced Greek economy since 2010 they have not reversed the basic characteristics of the new entrepreneurship, nor have they essentially reversed – at least to the extent that one might expect – the production model. Thus, the main motivation, despite the reduction in unemployment, remains earnings, and not the desire to make a difference through their business idea, while most new ventures are still related to the provision of services to consumers – an indicator of poverty. country – , with almost 30% of the total accounted for by the retail and catering sector.

The characteristic, of course, of low incomes and especially low wages, despite any recent increases, may also explain that the main motivation for starting a business is livelihood. The real-life example is perhaps revealing, even if it refers to the present time and not 2021, the year when the above conclusions were drawn from the annual Entrepreneurship Report compiled by the Foundation for Economic and Industrial Research (IOBE) in the context of the Global Entrepreneurship Monitor (Global Entrepreneurship Monitor). GEM). Literally on Tuesday, the head of the AEBE subway, Ar. Panteliadis said his business currently has 1,147 job openings, with the business receiving about 100 inquiries every month from potential franchisees looking to open a small convenience store.

So from the report I LOVE shows that early-stage entrepreneurship declined in 2021 to 5.5% of the population aged 18-64 (about 359,000) from 8.6% in 2020, one of the lowest rates since 2003. 57.1% men and 72.2% women. This is followed by the need for more income, with the proportion of men and women being 50.8% and 49.7% respectively, and the continuation of family traditions (37.8% for men and 42.5% for women). The last place is occupied by the motivation to change the situation (including what used to be characterized as entrepreneurship of opportunity rather than entrepreneurship of necessity), which is 30.3% among men and 29.3% among women.

The average age of young entrepreneurs is 36 years old, 44.6% have higher education and 5.9% have postgraduate studies. The percentage of high school graduates is about 30%.

Author: Dimitra Manifava

Source: Kathimerini

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