Entrepreneurial Business Opportunities in Developing Countries

A greater level of entrepreneurial business opportunities will exist in a poor, developing economy, rather than in a rich, developed economy because the needs and opportunities are more widespread, they have a different and greater cultural awareness, and have the opportunity to assess industries that have a high level of market risk before entering them. Although there are many factors that can affect entrepreneurship in these countries and prevent entrepreneurship form existing like a lack of finance, difficulty recruiting, a lack of innovation, high barriers to entry and issues with their government.

There are 5 factors that are necessary for entrepreneurship to exist these are an individual - the entrepreneur themselves, an opportunity, adequate resources, an organisation, and a favourable environment. It can be difficult to have all these five factors in a developing country compared to a developed country due to many issues but if these issues can be overcome there are many advantages to starting an entrepreneurial venture in a developing country.

Although developing countries are behind compared to developed countries in the business sector, entrepreneurship is a very important part of their economy for stimulating growth, competitiveness, innovation and also alleviating poverty for the countries. Although some developing countries try to restrain entrepreneurship, many others allow and encourage entrepreneurship and the start of small businesses, despite their great odds at being successful. (Pennisi, 2012) There are many unique features that affect entrepreneurship within developing countries.

There are many issues that need to be overcome by entrepreneurs in developing countries before they can start on their entre...

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...mising future.(Kempner, 2011)

Entrepreneurial ventures and small businesses in developing countries are extremely beneficial and are essential because they generate income and jobs, and they invest their business into the community that it operates in. Through this they also generate goods and services for the locals in these communities and will often tackle environmental and social issues of the community as well. When led correctly these businesses should grow and create more jobs, more services and more wealth to the community. (Naude et al. 2011)

Overall there are many issues that entrepreneurs have to overcome in order to start-up a business in a developing country but if they are willing and able to get past them, there is a greater level of entrepreneurial business opportunities that exist in a poor, developing country rather than a rich developed country.