Forbes Magazine encourages more women to take up entrepreneurship to help strengthen the economy in the March 14 2011 issue. Statistics shows during the recent recession, most jobs were created by small start-ups that are less than 5 years old. Many small companies fail but it takes many of such small failures to equal the losses from one lay-off at a large company. Older companies tend to cut as many jobs as they create. When a start-up is created,they hire people just to get the company going, gaining from zero to X numberof jobs to start with.
The article talks about ways to help Entrepreneurship:
- Understanding that there are two types of Entrepreneurs: social entrepreneurs focused on non-profit activities and Job Creating Entrepreneurs interested in generating earnings. To strengthen economy, we need more of the Job Creating Start-ups.
- Average age of Entrepreneurs in the US is 40. Many of them have not gone to college. However, top tier entrepreneurs have degrees and work experiences. Most of our efforts to prepare people for entrepreneurship goes towards collegiate-level programs. We need to better target our efforts by modifying the training programs.
- Democratize entrepreneurship by bringing morewomen and minorities, who are the less represented part of our population, into the profession. Also, encourage entrepreneurship in regions and neighborhoods where firm-formation rate is low.
- Teaching of Entrepreneurship in Colleges currently focuses on reading case studies rather than hands-on training. Courses teach how to write business plans and to raise venture capital. However, in real life many successful entrepreneurs do neither. Design of the courses need to be more realistic.
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