The entrepreneurship in a globalising world Essay

The entrepreneurship in a globalising world - Essay Example This paper discusses the impact of entrepreneurship in a globalized world and compares the role of small and large entrepreneurial enterprises. Under the research project titled Global Entrepreneurship Monitor (GEM), the London Business School together with the Babson College has analyzed the activity of entrepreneurship in above 40 countries that include several developed and developing societies. According to the GEM estimates, about 9 per cent of the total adult population is trying to establish a new venture at every point in time (Gatewood and Boko, 2009, p. 124). The GEM studies have found a strong link between the level of GDP of a country and the entrepreneurial activity going on in it. GEM estimates note that countries that have low GDP levels generally have significantly higher levels of early-stage entrepreneurial activity and a high number of small enterprises whereas in the high income countries, there is a relatively low level of early-stage entrepreneurial activity. â€Å"Countries with highest levels of GDP show increasing early-stage entrepreneurial activity, especially opportunity driven activities, as mo re individuals have the resources to go into business for themselves in an economic environment that allows for the exploitation of opportunities† (Gatewood and Boko, 2009, p. 125). The huge impact of globalization on entrepreneurship can be estimated from the fact that in certain GEM countries, at least 40 per cent of the total number of early-stage entrepreneurs expected at least 25 per cent of their consumers to belong to foreign markets (Gatewood and Boko, 2009, p. 125). The impact of entrepreneurship on globalization can be fairly understood from the effect of the European economic crisis on entrepreneurship in the US. The worst consequences of the European financial crisis are almost over as the leaders in different European countries have started to