How Entrepreneurship Can Contribute to Global Prosperity
For most modern entrepreneurs, running a successful, profitable, and well-known business is no longer their primary goal. They are now constantly on the lookout for ways to be more involved in the community. They help introduce and initiate changes that improve the economic condition of the community and the social well-being of citizens.
Many of these entrepreneurs do not confine their contribution to economic and social betterment to their communities; they are aiming to go global as well. Because of this, they also play key roles in promoting and boosting global prosperity.
What is Prosperity?
Today, prosperity is no longer a concept that pertains to the condition of being materially and financially wealthy. True prosperity, particularly on a national scale, is a multifaceted theme that is created by the successful working combination of various important factors.
The Legatum Institute, an independent UK think-tank and educational charity, lists the key pillars of prosperity as:
- Economic Quality
- Business Environment
- Safety and Security
- Personal Freedom
- Social Capital
- Natural Environment
When all these pillars work together in a relationship where each benefits from and advances the other, a country experiences growth in material prosperity and, at the same time, improved living standards.
Additionally, when all nations achieve these two improvements, social justice, which includes the elements of welfare and personal well-being, is also attained on an international scale. This, then, leads to global prosperity.
Entrepreneurship and Global Prosperity
Global prosperity is on the rise, thanks to mindful, socially responsible entrepreneurs. They contribute to achieving this worthwhile goal and status in the following ways:
Generating More Jobs
To attain financial and economic well-being and upliftment, people need to have jobs. They need to have reliable sources of income that will sustain their individual needs and those of their family.
Research shows that entrepreneurs are creating more jobs at a higher rate than those of established companies. New businesses always need to hire workers. Because of this, more people have access to better employment opportunities.
These new jobs are excellent economic opportunities that elevate and support communities by boosting the quality of life and overall standard of living of residents.
When entrepreneurs decide to expand or fund other ventures in other countries, more employment opportunities will be available for more people. This further contributes to global prosperity.
Introducing Products and Services People Actually Need
Since entrepreneurs are now more mindful and responsible, they think of and create new businesses designed to meet unanswered needs and demands in the market. They design products or services that are not currently in existence or otherwise available but which the public require or clamor for.
Opportunity entrepreneurs, or entrepreneurs that create businesses based on the needs of consumers, are considered key players in fostering local economic growth. They provide products and services that people need to be productive and, hence, will actually sell.
When opportunity entrepreneurs opt to provide their products and services worldwide, they allow more people to have access to these offerings. They, then, contribute to the productivity of their customers and the betterment of their lives.
With the contribution of opportunity entrepreneurs to job creation and economic growth locally and internationally, they help improve global prosperity.
Contributing to National and Global Income
With the creation of new businesses, entrepreneurs generate new wealth. These entrepreneurial ventures enable new markets to be developed as well.
The generation of new wealth coupled with increased employment contributes to better national income through higher tax revenue and greater government spending. The local government can then use the extra revenue to invest in human capital, social services, and struggling sectors.
In addition, once entrepreneurs expand into regional and global markets, they contribute to the region’s productivity and earnings as well. This increase in revenue strengthens the region’s economy and supports the overall welfare of a population.
It is also worth noting here that engaging in regional and global trade paves the way for investments in transportation and infrastructure. These improvements also strengthen economies and enhance the quality of living among the locals.
Helping Address Environmental Issues
Modern entrepreneurship comes hand in hand with innovation. When it comes to addressing various environmental challenges such as fighting climate change, reducing carbon footprint and waste, and preserving biodiversity in the environment, innovation is one of the must-have tools of individuals and organizations.
Most entrepreneurs are open to using and introducing innovative solutions to deal with the biggest environmental issues. More importantly, they willingly share access to technological developments such as sustainable energy, irrigation technology, and urban infrastructure with others.
Because of these, other people and groups will also enjoy a boost in productivity. And this translates to economic growth without harming the environment.
When this access to innovation is shared with other countries, prosperity spreads as well. In addition, the ecosystems of these nations get to benefit from such actions as well.
Initiating Social Change
Many entrepreneurs score high on corporate social responsibility. They prioritize implementing guidelines and policies that protect the welfare of their employees. Additionally, they introduce changes that improve the quality of life not only of their employees but also everyone in the community.
Additionally, they are agents of change that promote equality and diversity in the workplace and in the community. They are also open to investing in community projects and providing financial support to charities. This facilitates further development beyond the entrepreneur’s own venture.
It is also worth mentioning here that most entrepreneurs today are breaking away from tradition and promoting freedom by reducing their dependence on old, obsolete systems and technologies. They use and introduce technology that improves productivity and quality of life, and promotes economic freedom.
The innovations entrepreneurs introduce into their own companies also favorably impacts the environment. As such, positive change not only takes place among groups and individuals. It can have beneficial effects on the ecosystem, too.
Entrepreneurs play an important role in helping their nations achieve prosperity and economic growth. However, they shouldn’t focus on simply aiding their nation and countrymen. By being open to collaborating with other business owners, organizations, groups, and individuals, everyone will have a better chance of enjoying a better quality of life and equality.
This will go a long way in helping all nations experience global prosperity which should be on everyone’s primary agenda.