Global Entrepreneurship Monitor (Gem) - Germany 2000 Country Report

Posted: 24 Nov 2009

See all articles by Rolf Sternberg

Rolf Sternberg

University of Cologne - Institute for Economic Policy

Claus Otten

affiliation not provided to SSRN

Christine Tamasy

University of Auckland - School of Geography, Geology and Environmental Science

Date Written: 2000

Abstract

The results of the 2000 Global EntrepreneurshipMonitor (GEM) study for Germany reveal that the first steps toward a newculture of entrepreneurship have been taken. In 2000, one in twenty-five adultsattempted to start firms. This is a slight increase over 1999, placing Germanyin sixth position (up from eighth) among the countries participating in theinternational GEM research project. Three investigation methods are used in the GEM studies: an adult populationsurvey; interviews with entrepreneurship experts in that country; and selectednational and demographic data.The GEM model examines general frameworkconditions for economic growth and nine entrepreneurial framework conditions –financial support, government policy, government programs, education andtraining, research and development transfer, commercial and professionalinfrastructure, market openness, access to physical infrastructure, andcultural and social norms. Among the findings:The proportion of the population that providesfunding for startups has increased to 3.94%, placing Germany in fifth position.The proportion of women starting firms has also increased, placing Germany ineleventh position, significantly behind Canada and the United States. Germanyis in a strong second position in the area of available shareholder's equityand debt capital for startup founders. Also, Germany is in position three inpositive regard for state programs promoting entrepreneurship. Areas of weakness for Germany include education, training, and social andcultural values (e.g., a fear of failure) that present obstacles toentrepreneurship. Tax and other state regulations are also perceived asbarriers preventing a positive attitude toward starting firms. Recommendationsfor improving the rate of startups in Germany include adopting these goals:increasing the proportion of women founders; increasing basic knowledge aboutlaunching startups through the German educational system; improving theperception of the barriers presented by regulation; and promoting geographicclusters of startups. (CBS)

Keywords: Entrepreneurial activity, Business assistance programs, Business conditions, Cultural attitudes, Venture capital, Regional differences, Debt capital, Entrepreneurial environment, Entrepreneurship education, Early stage financing, Gender, Demographics, Cultural values, Females, Regulations, Economic growth, Employee training, Public policies, Risk orientation, Taxes, Males

Suggested Citation

Sternberg, Rolf and Otten, Claus and Tamasy, Christine, Global Entrepreneurship Monitor (Gem) - Germany 2000 Country Report (2000). University of Illinois at Urbana-Champaign's Academy for Entrepreneurial Leadership Historical Research Reference in Entrepreneurship, Available at SSRN: https://ssrn.com/abstract=1509245

Rolf Sternberg (Contact Author)

University of Cologne - Institute for Economic Policy ( email )

Pohligstr. 1
Cologne, D-50969
Germany

Claus Otten

affiliation not provided to SSRN

No Address Available

Christine Tamasy

University of Auckland - School of Geography, Geology and Environmental Science ( email )

Private Bag 92019
Auckland Mail Centre
Auckland, 1142
New Zealand

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