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Overview

The OECD-Eurostat Entrepreneurship Indicators Programme Preliminary Indicators for Italy, Europe and Other OECD Urbino University, Italy April 22, 2008 Tim Davis OECD Statistics Directorate. Overview. Entrepreneurship Indicators Programme (EIP) What is the EIP? Why was it launched?

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Overview

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  1. The OECD-EurostatEntrepreneurship Indicators Programme Preliminary Indicators for Italy, Europe and Other OECD Urbino University, ItalyApril 22, 2008Tim Davis OECD Statistics Directorate

  2. Overview • Entrepreneurship Indicators Programme (EIP) • What is the EIP? Why was it launched? • Framework for Addressing/Measuring Ent’ship • Definitions • An Entrepreneurship Model • Core Indicators of Performance • Determinant Indicators on Access to Finance • Exploring High Growth • Some Entrepreneurship Indicator “Previews”

  3. Genesis of Entrepreneurship Indicators Programme 2004-2005 OECD statistical activity initiated by: • Kauffman Foundation • Danish-led Consortium (ICE) • OECD Centre for Entrepreneurship • Ministerial (Istanbul) • Eurostat also exploring entrepreneurship • Survey on Factors of Business Success (FoBS)

  4. Outcome of Feasibility Study • Entrepreneurship was a policy priority • Limited involvement of NSOs • Internationally-comparable measures are scarce • Fundamental definitions and concepts missing • Measures lacked Policy Context • Need information on firms and entrepreneurs • Basic business demography data incomparable • Resistance to new firm surveys

  5. OECD Programme • Engage countries; Get NSOs involved • Make entrepreneurship data “mainstream” • Common language, terminology, measures • Entrepreneurship Measurement Manual • Encourage common use of: • Core Definitions • Framework for understanding and developing • Indicators and data specifications • Formal partnership with Eurostat in 2007

  6. Now an OECD-Eurostat Programme • Business Register based data collection • Leverage success in some countries to stimulate cooperation across all OECD/EU • NSOs maintain micro-data • OECD & Eurostat publish aggregates • Co-ordinate country-level , micro-data research • e.g. Determinants of high growth • Pilot test new entrepreneurship questions

  7. EIP Definitions • Entrepreneurs: those persons (business owners) who seek to generate value, through the creation or expansion of economic activity, by identifying and exploiting new products, processes or markets. • Entrepreneurial activity: the enterprising human action in pursuit of the generation of value, through the creation or expansion of economic activity, by identifying and exploiting new products, processes or markets. • Entrepreneurship is the phenomenon associated with entrepreneurial activity.

  8. Some Important Principles • Entrepreneur vs. Entrepreneurship • Not just small or young firms • Not all firms are entrepreneurial • They are doing something “new” • Some entrepreneurs fail • “Value” can be defined in different ways • Indicators focus on business entrepreneurship

  9. Definitions and Indicators • EIP offers broad definition of entrepreneurship • No single measure perfectly reflects definition • Must distinguish types of entrepreneurship • Employers vs. non-employers • Measures of High Growth and Gazelles • Innovative firms • Exporting firms For example…………….

  10. Sub-Dividing Entrepreneurial Firms High-Growth Replicators High-Growth Innovators High Growth Company Growth Replicators Low Growth Replicators Low Growth Low Growth Replicators Innovators Degree of Innovation

  11. A Simple Model

  12. Core Indicators

  13. Some Data Previews…. Preliminary OECD-Eurostat Results

  14. Employer Firm Birth Rate

  15. Employer Firm Birth Rate

  16. Employer Firm Death Rate

  17. Business Churn

  18. Survival Rate, 3 and 5 years

  19. Survival Rates by Sector, Italy

  20. High Growth

  21. Gazelle Rates– Preliminary OECD-Eurostat Results

  22. Business Ownership Start-up Rate

  23. Business Ownership Rate

  24. Average Firm Size After 3 and 5 Years

  25. Value-Added by Small Firms

  26. Export Performance of Small Firms

  27. Export Performance of Small Firms

  28. VC: Start-up vs. Development

  29. Enterprise vs. Employer Enterprise

  30. www.oecd.org/statistics/entrepreneurshipindicators SDBS:  http://www.oecd.org/document/17/0,3343,en_2649_34233_36938705_1_1_1_1,00.html Le manuel BD : www.oecd.org/std/industry-services/businessdemographymanual SDBS: STD.Indservstat@oecd.org tim.davis@oecd.org

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