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Public Policy and Rural Entrepreneurship. National Public Policy Education Conference St. Louis, Missouri September 21, 2004. Entrepreneurial Genome: A Double Helix. Individual. Community. Entrepreneurial Genome. A successful entrepreneur can be viewed as a healthy, functioning organism.

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Public policy and rural entrepreneurship l.jpg

Public Policy and Rural Entrepreneurship

National Public Policy Education Conference

St. Louis, Missouri

September 21, 2004


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Entrepreneurial Genome: A Double Helix

Individual

Community


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Entrepreneurial Genome

  • A successful entrepreneur can be viewed as a healthy, functioning organism.

  • The “switches” in the entrepreneurial genome represent individual and environmental factors.

  • An entrepreneur’s probability of success depends on whether these switches are in the “on” or “off” position.


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Putting It Together: The Healthy Entrepreneur

Propensity

Education

Capital

Innovation

Labor

Team

Support Services

Mentors

Policy

Giveback

Networks

Feedback


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Environment

Education and Development

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Source: Ewing Marion Kauffman Foundation, 2001


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Policy versus Programs


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Four Government Roles

Producer

Facilitator

Enabler

Prohibitor


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“The System”


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Framework for Entrepreneurship Development


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Do residents have a propensity

to become entrepreneurs?


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Do residents have the

knowledge and skill associated

with entrepreneurship?


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Are resident

entrepreneurs

succeeding?


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What’s Wrong with This Picture?

Other

99.3%

E-Activity

70%

Other

30%

E-Activity

0.7%

Percentage State Economic Development Resources for Entrepreneurship Development

Percentage Difference in Economic Growth Explained by Entrepreneurial Activity

Source: Global Entrepreneurship Monitor 2000

Source: NASDA Survey of State Expenditures 1999


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The Political Challenge

  • Entrepreneurship represents:

    • “patient” economic development.

    • “incremental” economic development.

    • “venture” economic development.

  • For many politicians:

    • “wealth” is still a four-letter word.


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Examples of Policy Innovations

  • Entrepreneurship Education

    • Not in addition to state standards; as a technique to teach to standards

  • Unemployment Insurance

    • Give entrepreneurship the same weight as “pounding the pavement” looking for a new job

  • Use of Public Schools and Community Colleges

    • Entrepreneurship Laboratories

    • Adult Entrepreneurship Education

    • Networking events

  • Tax Deferrals (versus abatements)


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Readings

  • “The Public Policy Arena,” Jay Kayne, Ewing Marion Kauffman Foundation, 1999

  • “State Entrepreneurship Policies & Programs,” Jay Kayne, Kauffman Center for Entrepreneurial Leadership, 2000

  • “A Governor’s Guide to Strengthening State Entrepreneurship Policy,” National Governors Association, 2004

  • “American Formula for Growth,” National Commission on Entrepreneurship, 2002

  • “Entrepreneurship: A Candidate’s Guide,” National Commission on Entrepreneurship, 2002


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Readings

  • The Emergence of Entrepreneurial Policy, David Hart (editor), Cambridge University Press, 2003

  • Global Entrepreneurship Monitor, Executive Report (available for 1999-2003)

  • “Entrepreneurship as an Economic Development Strategy,” Jay Kayne, Center for Rural Entrepreneurship, (forthcoming)


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For More Information

Jay Kayne

Cintas Chair & Professor of Entrepreneurship

Richard T. Farmer School of Business

Miami University

513-529-9298

[email protected]


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