No. 30




Smartness of Estonian Entrepreneurship According to GEM and GEDI Studies of Entrepreneurship

15 December 2014


RiTo No. 30, 2014

  • Tiit Elenurm

    Head of Department of Entrepreneurship, Estonian Business School

  • Rivo Riistop

    Project Manager, Estonian Development Fund

The article deals with the findings of the Global Entrepreneurship Monitor (GEM) Estonia Report and the analysis of the Global Entrepreneurship Development Index (GEDI) that focus on promoting the development of innovative enterprises with growth ambitions and increasing their share in total entrepreneurial activity. The article discusses what are the obstacles to development of such enterprises today, and also what are the possibilities for supporting their growth while taking into consideration different entrepreneurial aspirations.

Global Entrepreneurship Monitor is the largest annual study of entrepreneurial activity and attitudes at the level of individuals in the world. In 2014 Estonia participated in the assessment for the third time. This article analyses the results of the 2013 report, among other things in comparison to the first year of study.

The Global Entrepreneurship Development Index was conducted in Estonia from autumn 2013 to autumn 2014. The study regards the ecosystem of Estonian entrepreneurship as a single whole, and identifies the developmental needs of Estonian business environment by comparing it with 120 countries and also different groups of states. The article draws attention to the main bottlenecks in the ecosystem of startups and the proposals for alleviating them, these issues are discussed in more detail in the full text of the report.

The article explains the obstacles of innovative entrepreneurship by linking the Global Entrepreneurship Monitor and GEDI analyses. It is shown whose advice innovative entrepreneurs listen to, and who were the ambitious and less ambitious entrepreneurs in the GEM study of 2013. The development paths and cooperation possibilities of entrepreneurial organisations are compared. The article also discusses how to apply the recommendations of GEDI analysis, taking into account the growth ambitions and entrepreneurial aspirations of entrepreneurs. The plan of the Estonian Development Fund to develop the ecosystem of startup companies through the Startup Estonia programme is also mentioned.

The authors of the article believe that the results of the studies give n appropriate overview of the development obstacles of the ecosystem of Estonian entrepreneurship and startups, and will hopefully be actively used as the basic information in designing the support instruments of entrepreneurship.

Full article in Estonian