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Entrepreneurship 3.0

Entrepreneurship and the Future of Egypt

The famous economist, Joseph Schumpeter (1883-1950), was among the first to lay out a clear concept of entrepreneurship. Schumpeter pointed out the many ways that entrepreneurs innovate. He called attention to the fact that not only do they innovate by figuring out how to use inventions, but they also innovate by inventing new means of production, new products, and new forms of organization. Entrepreneurs in other words, improve the productive capacity of society by generating the “creative destruction” of positive economic change.

The science of entrepreneurship dates back to the time when land and its productive capacity was turned into an engine of commerce. Products of the land were harvested, converted in food and goods, and sold in the marketplace. This early form of innovative commerce provide the venue for Entrepreneurship 1.0.In the late 17th century, manufacturing process innovations created the Industrial Revolution opening up new channels for value creation and new opportunities for human development. This was Entrepreneurship 2.0.

And while the benefits of Entrepreneurship 2.0 are available for all to see, so are its unintended consequences. Total wealth grew dramatically, but so did inequality and wage differentials and persistent structural unemployment across the globe — and especially in nations with large populations and already strained ecosystems.

With the arrival of the new millennium policy makers, academics, and social activists began the search for new multi-purpose economic tools. Tools that would not only increase macro economic indicators like GDP, but would also fundamentally rethink the content and distribution of what used to be defined as a “job”.

The tool kit is still being assembled but its presence is already being felt in the form of Entrepreneurship 3.0. The new iteration of entrepreneurship is based on the idea that business innovation must be harnessed to fundamentally reinvent and redefine the meaning of compensated work. In the new economy business innovation is challenged to improve the human experience and preserve the planet that supports it. Entrepreneurship 3.0 focuses on the intersections between innovation, opportunity recognition, and sustainability. Entrepreneurship 3.0 is a youth driven effort to create viable “work opportunities” in an economy now distant from its agricultural and industrial forerunners.