Over the past few years we have seen entrepreneurialism popularised by TV shows such as The Apprentice and Dragons' Den. Our bookshelves are filled with guides on how to start our own companies, and according to Orange's recent Entreprenation report that examined the state of entrepreneurialism; the UK is a nation of budding Richard Bransons.
So who are these would-be entrepreneurs? What drives them? And why are their numbers increasing during a particularly tough economic environment?
State of the nation
Over the past 18 months, we have undertaken a series of studies into the state of entrepreneurialism across the country in a bid to uncover the motivations of the UK's promising business men and women. As part of this research, we questioned 4,000 British workers and found that over half have considered setting up, or already have established their own business. Delving a little deeper, the survey also revealed that there was a positive attitude to entrepreneurialism across the nation with no real regional variation. This means people are just as likely to set up a company in a rural hamlet in Aberdeen as they are in Central London.
In order to gain a fully rounded vision of the modern day entrepreneur, we also spoke with René Carayol, UK business guru and CEO of Inspired Leaders Network, for his insights and observations into the entrepreneurs of the past and present. 25 years ago the ‘average' entrepreneur was born of the struggle and was typically a man, often confined to London in order to secure funding. In keeping with the spirit of the decade, entrepreneurs in the 80's commonly possessed a tenacious attitude and were serial entrepreneurs - when one business failed, they started the next.
Changing times for entrepreneurship
While some of these characteristics, such as drive and ambition, have not changed in 25 years, others have - creating a shift in the entrepreneurial landscape. Today's ‘average' budding business person is no longer financially restricted to London, and entrepreneurial hubs are springing up across the country. While financial independence will always be key drivers for any start-up, many modern entrepreneurs are also motivated by a desire to make a positive difference to their daily lives . The demographic of those wanting to start their own companies has also changed, with women just as likely as men to become entrepreneurs .
So, what has shaped the business landscape so radically and why are so many of us interested in setting up on our own? Of those who had thought about starting-up their own business or have already done so, only 28% named making money as a motivating factor for doing so . In fact, being master of their own destiny was far more important - 60% of respondents want to become their own boss and 55% do so to obtain a flexible lifestyle. What our research also suggests is that we are increasingly rejecting traditional working methods, such as being in a centrally-located office from 9am-5pm, Monday to Friday, and looking to adapt our working lives to better fit our personal lives.
The Orange Entreprenation report also reveals that people believe communications technology and universal connectivity has levelled the entrepreneurial playing field. This has prompted businesses to spring up across the country, no longer confined by the restrictions of geography. Our research found that 79% of British workers believe technology makes it easier to run a successful company, giving access to new markets, new networks and easier for new businesses to obtain advice. In addition, 71% of respondents said that access to communications technology, such as fast broadband, smart phones, WiFi and laptops make it easier to be entrepreneurial.
What does the future for entrepreneurship hold?
If the conclusions in our Entreprenation report are correct, then there will also be a shift in how businesses and society measures success. With companies being established to fit founder's lifestyles, using financial results to measure success will only tell half the story. Some companies with small annual growth are actually the most successful because they are enabling their founders and workers to maintain the lifestyle they set out to achieve at the start. It seems increasingly important that traditional success targets such as sales, profit and growth are measured alongside other indicators such as meeting founding objectives and the lifestyle balance achieved by staff and bosses alike.
With the entrepreneurial landscape changing every day, it is hard to predict where the next 25 years will take us. However, some factors seem inevitable - the use of technology as a driver in establishing company, for example, is likely to continue to grow; after all there are 100,000 businesses already whose only storefront is eBay. Working ethics are also likely to have to adjust. This is not to say that people will be working shorter hours or with less effort, but they will have to adopt a more flexible approach to running a business - working, buying and delivering all from home.
For more information please visit www.orange.co.uk [1]