Joining Forces: US and European Best Practices in Promoting Entrepreneurship Education

1. Joining Forces: US and European Best Practices in Promoting Entrepreneurship Education Presented by: Dana T. Redford, PhD November 14th, 2010 Columbus, Ohio, USA

2. Dana Thacher Redford, PhD Post Doc Visiting Scholar & International Development Assistant Professor of Management Consultant to EU Presidency EU Project Coordinator Associate and Strategic Consultant Director, American Chamber of Commerce International Entrepreneur Lead Market Research Consultants Previously, in Houston, Texas, Market Research Manager of • Entrepreneurship & Intrapreneurship • Internationalization & Corporate Strategy • Government Affairs

3. WHAT IS ENTREPRENEURSHIP AND WHY IS IT IMPORTANT?

4. Background on Entrepreneurship • More than 95% of businesses in most countries are small (<100 employees) • In most countries, more than half of all employees work in small businesses • In many countries more than half of gross domestic product comes from small businesses • They tend to be more flexible and responsive to customers • They are more innovative than large businesses

5. Entrepreneurship as a Strategy The Strategy for 21st Century in the US & EU • Strategies for Entrepreneurs • Competing with BIG Business • Complementing BIG Business • Cooperating with BIG Business • Strategies for Big Business • Tool for Accelerating Innovation • Strategies for Public Policy

6. What is Entrepreneurship?  A process Not a person  About BIG companies that happen to be small  Not about small business  Important to BIG business

7. Entrepreneurship The pursuit of Opportunity beyond the Resources you currently control Harvard Business School Working Definition

8. CULTURAL DIFFERENCES AND ENTREPRENEURSHIP

9. What People Think About Entrepreneurs Business Norms and Behavior Cultural Traditions, Preferences, and Behaviors Cultural Environmental Factors

10. Culture: United States

11. Culture: Europe

14. IN SEARCH OF BEST PRACTICES FOR ENTREPRENUERSHIP EDUCATION IN THE US & EU

15. Entrepreneurship Support & Promotion Community Organizations (Public) Service Providers Business Associations Theoretical & Empirical Research Model Entrepreneurship Support & Promotion Infrastructure Regulatory Bodies Transnational Entities National Entities Regional Entities Local Entities Cross-Industry Associations Entrepreneur Associations Labor Unions Administrators Teachers Parents Government Chambers of Commerce Trade Associations Grade-School & Secondary Education Researchers Professors Business Plan Competitions Technology Transfer Offices Journals Television Internet Radio Broadcasters Reporters The Media Higher Education Community Organizations (Private) Foundations Agencies Semi-Governmental Agencies Economic Development Offices Think Tank Associations Funding Sources Entrepreneurs Mentor/Counselors Accountants Lawyers Consultants Incubators Technological Parks Venture Capitalists Friends, Family & Fools Banks Business Angels Self-Employed Small Business Owners Entrepreneurs

16. The Role of Entrepreneurship Education • Show Entrepreneurship as a possible career choice • Advocate the mindset and type of creativity employed in entrepreneurial endeavors • Give students the technical and business skill-set necessary to have a successful entrepreneurial career • Assume the responsibility as educators to advancing the body of knowledge associated with the entrepreneurial phenomenon. Their findings should not only be disseminated to students but also to policy-makers and the public at large Source: Redford, 2007

17. Entrepreneurship Education & Training • Public policy solution to solve the deficit of entrepreneurship in Europe • Oslo Agenda for Entrepreneurship • Various European Commission report • Organizations for Economic Cooperation and Development (OECD) • Look at public policy models from other countries

18. Research into Dutch Public Policy Dutch Model for Entrepreneurship Education • From 2006 to 2012, €97 million • 75,000 students, 4,400 teachers in over 500 schools • Stimulate the creation of entrepreneurship centers that join several universities • Holland Program on Entrepreneurship (HOPE) • HOPE = Erasmus U Rotterdam, TU Delft, U Leiden, mayor companies, 100+ entrepreneurs • Accompany national develop with monitoring and research

19. The Dutch Model 2000 Upcoming awareness 2005 Partnership Leren Ondernemen An initiative of 2 ministries: • Ministry of Economic affairs • Ministry of Education

20. Dutch Model Continues 2007 Stimulating projects on EE Primary and secondary schools - € 5 million Higher education - €12 million (Centers of Entrepreneurship) 2008 Developing an Actionprogramme: More structure, quality: organizing joined efforts

21. Dutch Model Today 2009 Actionprogramme Education and Enterprise € 33 million (2009-2012) Versus Other countries or regions? ??? - €,€€€,€€€ - ??? ??? - $,$$$,$$$ - ??? ??? - Timeframe - ???

22. Range in Europe – Grade & High School The Netherlands (16.3 million pop.) 500 schools 75,000 students Portugal (10.5 million pop.) 98 schools & ~ 4,700 students Source: Redford, 2009 & 2010

23. Interconnection is Key Conceptualizing the Relations Schools

24. Research into American Public Policy The Consortium for Entrepreneurship Education Has existed in the United States since 1982 Vision: • An organization recognized as the national leader in advocating entrepreneurship education as a lifelong learning process. Mission: • The Consortium Champions Entrepreneurship Education and Provides Advocacy, Leadership, Networking, Technical Assistance, and Resources nationally across all levels and disciplines of education, promoting Quality Practices and Programs. Website: • http://www.entre-ed.org/

25. Creation of Best Practices in Portugal • Policy Advocacy & Development • IMPLEMENTATION OF NATIONAL RESEARCH • Training of Teachers • Don’t reinvent the wheel – take good practices from other countries and organizations Centro de Educação do Empreendedorismo em Portugal 25

26. Global Best Practices One of Eight Good Practices in Entrepreneurship Education in the OECD in 2010 Masters – Entrepreneurship, Leadership and Opportunity Recognition

27. Researching Student Attitudes • Track Students Attitudes towards Entrepreneurship • 81.2% want to work for others and only 16.1% want to create their own business • Track Students Attitudes related to Risk and Obstacles • 49.9% of the respondents point to the bureaucracy of governmental entities and fears going bankrupt (58%) Source: Redford, 2009

28. Researcher Career Choices & Education • During 2005/2006 only 826, or 0.2%, of students at the post-secondary level participated in an entrepreneurship class in Portugal • Only 14.8% of students believe that the Portuguese educational system develops a state of mind that encourages the creation of new firms • 63.7% of students believe in the possibility of owning their own business in the future • After graduation only 16.1% want to create their own business whereas 81.2% want to work for others

29. Learning about Obstacles for Students Starting Early in the Educational Cycle & Educating for the Future 63.7% of students believe in the possibility of owning their own business in the future Risk Taking  Need for a Discussion of Risk 49.9% of respondents point to the bureaucracy of governmental entities and fear going bankrupt (58%) Practical Experiences in Class Experiential learning practices for class assignments

30. Further Policy Considerations • Youth Employment and Entrepreneurship • Regional and Socio-Economic Differences • Gender Consideration in Entrepreneurship • Prominence of the Public Sector in the Mindset of Post-Secondary Students • Advancing Entrepreneurship Education as part of the EU’s Lisbon Strategy

31. Conclusions: Policy Development Benchmarking and Evaluation • Educational System and Entrepreneurship Promotion • Capacity Building of Entrepreneurship Education • Post-Secondary, Secondary and Primary Education – Entrepreneurship Offerings • Students Attitudes towards Entrepreneurship • Students Attitudes related to Risk and Obstacles

32. Thank You Professor Dana T. Redford Email: Dana.Redford@RedfordResearch.com