Today’s work environment is different from years ago. More and more, employees around the world are leaving the traditional workplace and pursuing entrepreneurial career paths. Though many have the desire to start their own business, we wanted to know if they have the skills and working knowledge to make it possible. Questions like these are what we asked in the 2016 Amway Global Entrepreneurship Report.
The 2016 edition is our biggest yet, focusing on “Entrepreneurship in a changing work environment.” More than 50,000 respondents in 45 countries took part in the survey and helped create a detailed picture of how people around the world view entrepreneurship. The study showed that people think of self-employment as a more likely career choice in five years. It also found that a majority of respondents worldwide feel comfortable seeking out and building a client base – a key skill for creating an increasingly flexible work schedule.
All of this provides further evidence that entrepreneurs will play a key role in future economies and for society. Our research has shown that entrepreneurs start a business to work independently and find greater fulfillment in their life – opportunities desired by many, especially today’s millennial generation. Entrepreneurs enhance our global economy by creating jobs and investing in the communities they serve. By understanding the attitudes, desires and fears around entrepreneurship, our hope is that we can help inspire and build a more entrepreneur friendly world for years to come.
- This year’s AGER is entitled “Entrepreneurship in a changing working environment” and delves deeper into the ongoing developments of the working environments of the participating countries.
- This approach is therefore different to the studies before, as the previous studies observed self-employment predominantly concentrated on structural topics (e.g. entrepreneurship education, modern labor market) or culture. AGER 2016 switches from a broader perspective, to a specific trend.
- The study evaluates these trends within our working environment by asking about the perception of the respondents, whether self-employment will be a more likely option in five years and by asking, whether they would feel comfortable with searching and acquiring customers on a self-employed basis – a key skill for entrepreneurs.
- AGER 2016 examines self-employment as a special form of entrepreneurship. In order to highlight the difference between employment and self-employment, respondents to the survey received a definition of self-employment before responding to the two questions. This extends the definition of entrepreneurship that has been used for the last three years.
- Entrepreneurship is defined as starting a business and providing a product or service to customers.
- Self-employed is defined the following: While an employee receives a regular salary by one company, a self-employed person needs to be paid directly b customers. Self-employed people earn revenue for themselves by searching for and acquiring customers to whom they will sell products or provide services.
- This year’s study also incorporates the Amway Entrepreneurial Spirit Index (AESI), introduced in 2015. It is based on three dimensions: 1. Desirability, 2. Feasibility, and 3. Stability against social pressure
The AESI draws on theory to examine citizens’ intentions towards a certain behavior – such as the willingness to start a business – and how these are driven by motivational factors. The more favorable these factors are the more likely that people will successfully change their behaviour. The AESI uses three established motivational factors to measure a respondent’s entrepreneurial spirit and more broadly that of a country. It consists of the respondents’ perception of:
- Desirability: whether respondents perceive starting a business as desirable,
- Feasibility: whether respondents feel prepared to start a business
- Stability against social pressure: whether respondents would let their social environment, such as family and friends, dissuade them from starting a business.
The index allows the tracking of states’ performance and an examination of the underlying causes of national attitudes towards entrepreneurship. The higher a country’s AESI score, the more respondents can imagine starting a business. It also enables an examination of entrepreneurial spirit in different demographic groups e.g. age and gender.