A recent article in the Harvard Business Review (June 2010) pointed out the recent progress made by Rwanda in the ‘Ease of Doing Business’ ranking from the World Bank. Rwanda jumped from 143rd on the list to 67th – a feat attributed in part to the government’s approach to encouraging and enabling entrepreneurship. In the category titled ‘Ease of Opening a New Business’, Rwanda ranked 11th worldwide.
The article goes on to explain that country leaders need practical maps and navigational guidelines to stimulate progress. From what we know from both research and practice, here’s what seems to actually work in stimulating thriving entrepreneurship ecosystems.
Nine Prescriptions for Creating an Entrepreneurship Ecosystem
- Stop Emulating Silicon Valley
- Shape the Ecosystem Around Local Conditions
- Engage the Private Sector from the Start
- Favor the High Potentials
- Get a Big Win on the Board
- Tackle Cultural Change Head-On
- Stress the Roots
- Don’t Overengineer Clusters; Help Them Grow Organically
- Reform Legal, Bureaucratic, and Regulatory Frameworks
To read more about these steps and the theory behind them, read the full article on the Harvard Business Review website by clicking here.