RESPONSE: Entrepreneurial climate - looking for indicators

[entrepreneurship-phd at lists.uni-due.de]

From: Edwin A. Ort¨ªz Mundo [mailto:edortiz at suagm.edu] 
Date: Tue 24 Feb 2009 17:15

Ms. Hofer,

One option of metrics could be to establish a comparison (ratio) between venture formation (# of firms created per annum in a particular region) with venture survival rates (# of venture still operating) after 1 year, 3 years and 5 years. Research literature suggests this 5 - year window is THE critical period in the firm maturation process. Regional ratios could then be compared through a ¦Ö2 or ANOVA tests of their means and standard deviations to check for significant differences. This could be a proxy measure for entrepreneurial initiative within each region.

The knowledge web on SME and Entrepreneurship also has a series of working papers that could be of interest to you in this project. Check the following link: http://www.entrepreneurship-sme.eu/ 

Also, the Max Plank Institute of Economics in conjunction with the Friedrich Schiller University in Jena has a series of working papers (Jena Economic Research Papers, www.jenecon.de)analyzing regional indicators of entrepreneurialism for different regions in Europe. You might want to look them up for ideas. You might also want to look at the Global Entrepreneurship Monitor (GEM) for ideas on how to incorporate the public policy dimension. I hope these ideas push you in the right direction. Much success to you!

Kind regards, 

PROF. Edwin A. Ortiz Mundo, MBA
Coordinador de Asuntos Estudiantiles
Escuela de Administraci¨®n de Empresas
Universidad Metropolitana
P. O. Box 21150
San Juan PR 00928
(787) 766-1717 ext. 6965
edortiz at suagm.edu