Start-Ups

Ambitious Nascent Entrepreneurs and National Innovativeness

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Executive Summary

In this paper, the authors investigate whether ambitions amongst nascent entrepreneurs regarding innovation matter for the national level of innovativeness. They link ambitious nascent entrepreneurship to the national level of innovativeness for 36 countries participating in the Global Entrepreneurship Monitor. They find a significant positive relation between the level of nascent entrepreneurs who intend to offer a product or service that is new to all or to some of their customers and the national technology level. This suggests that ambitions to offer new products or services may contribute to higher levels of competition and knowledge spillovers, and consequently to the emergence of highly innovative economies. Their results also suggest that this relationship is non-existent in poor countries.

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