How the World Sees Entrepreneurship
Since 2010, Amway has been conducting a very important survey on various aspects of entrepreneurship. The first study was done in 2010 as the “Amway European Entrepreneurship Report“ with 12,000 respondents, then it was expanded worldwide in 2013 under the name of “AGER – Amway Global Entrepreneurship Report”, to cover 24 countries.
This most recent survey was conducted in 44 countries, with face-to-face and telephone interviews covering 49,000 men and women aged 14-99. The survey’s fieldwork was completed by GfK Germany.
Some of the key findings from this survey are:
Environment for Starting and Running a Business Is Not Satisfactory
Of the nearly 50,000 people surveyed, 52% say the technology that makes entrepreneurship easier is not available to them. 60% are not happy with education system to teach them the necessary skills, and 66% say their country does not provide rules and regulations that are easy to understand and follow.
North Americans seem to be the most content in this respect whereas those in the EU and Latin America the least happy.
Help in Raising Money Is Needed the Most When Starting a Business
Raising money for the business idea is found as the most helpful support by 23%. Money is the biggest problem in Asia (28%), and the least in North America (21%).
20% need help with dealing with finances, taxes and regulations, and 18% with identifying customers and marketing the products.
The Ideal Business Is the One That Allows Serving Customers Personally
75% imagine their ideal business where they will serve their customers personally (vs. digitally), 64% to be located in a metropolitan area (vs. countryside), 60% to be profit-oriented (vs. social-oriented), 57% where they will also hire other people (vs. working alone), and 54% to be selling services (vs. products).
“Personal service” is the highest in North America (78%), and the lowest in Asia (65%).
AESI (Amway Entrepreneurial Spirit Index) Further Declines
Introduced in 2015, the AESI measures three dimensions that impact a person’s intention to start a business: desirability, feasibility and stability against social pressure. These dimensions have equal weights on the overall index.
In this last survey, this average score was found as 47%, down 3 points from previous year. Actually, this score last year (50%) had also declined from 2015 (51%).
The scores of each of the three factors measured in the most recent survey were:
- Stability (My family or friends could never dissuade me from starting a business): 50%
- Desire (I consider starting a business as a desirable career opportunity for myself): 49%
- Feasibility (I possess the necessary skills and resources for starting a business): 43%
AESI is found the highest in Vietnam at a level (84%) much higher than the global average. Vietnam is followed by two other countries in Asia: India 81% and China 80%.
AESI is the lowest in Ukraine (21%). Then come Bulgaria (22%) and Japan (25%).
Please click here to read the full report.
Hakki Ozmorali is the Principal of WDS Consultancy, a management consulting firm in Canada specialized in providing services to direct selling firms. WDS Consultancy is a proud Supplier Member of the Canada DSA. It is also the publisher of The World of Direct Selling, global industry’s leading weekly online publication since 2010. Hakki is an experienced professional with a strong background in direct sales. His work experiences in direct selling include Country and Regional Manager roles at various multinationals. You can contact Hakki here.