“You have a good social project, but it is not an investable company”, I heard fellow judge and technology activist Mariéme Jamme say to a South African entrepreneur who had just given his best business pitch. He was taking part in the Dragons’ Den at the 5th Global Forum on Innovation and Technology Entrepreneurship, a fantastic 3-day learning and networking event organized by the World Bank’s infoDev and the South African Department of Science and Technology. You could see the entrepreneur (let’s call him ‘B.’) gasping for air, and one could hear a pin drop in the completely filled auditorium of the Global Forum. Over 800 people, mostly entrepreneurs, financiers, policy makers and technology ‘evangelists’ from all over the world had gathered here.
How are emerging market entrepreneurs leveraging technology and changing development paradigms? Why are the rewards of funding innovative new ventures in emerging economies worth the risks, and what makes these investments succeed? How can investors, policy makers, and the private sector in general help find and groom transformative high-growth enterprises?
I recently attended the American Economic Association annual conference in San Diego—the world’s largest gathering for economists. There were more than 50 parallel sessions on a wide array of topics and several previews and presentations of papers –so there was a surplus of interesting ideas and insights. As an Economist who works in innovation, technology and entrepreneurship, I was particularly focused on papers that were relevant to my areas of interest. Highlights are under the cut.
This past summer, I joined my colleagues on a visit to the Global Innovation Summit and study tour in Silicon Valley—which is undoubtedly the world’s capital of innovation and entrepreneurship. Also joining us were representatives from Lebanon and Vietnam, who were clearly interested in enabling inclusive innovation in their respective countries.
The Global Innovation Summit brought together more than 500 innovation practitioners—including entrepreneurs, financiers, think tanks, NGOs engaged in inclusive innovation, and government officials from emerging markets. While we were there, we got an inside look at business accelerators, financiers, higher education institutions, and NGOs engaged in inclusive innovation. It was an important learning opportunity for us, considering the importance of innovation to the development agenda and the World Bank’s role in fostering innovation in our client countries.
Read this post in Bahasa.
Ambitious and fast rising—these words aptly describe modern Indonesia. Amidst a global economic slowdown, Indonesia was the third fastest growing economy among the G-20 for 2009 and it continues to post strong economic growth, at a projected rate of 6.4% for 2012. Improving economic competitiveness by creating a more salutary business climate is one of Indonesia’s national priorities for 2010 to 2014.
Indonesia is walking the talk. Doing Business in Indonesia 2012 launched January 31 in Jakarta, finds that all 14 cities previously measured in Doing Business in Indonesia 2010 have improved business registration processes over the last two years, while 10 out of 14 cities expedited the approval of construction permits. During his keynote address on the launching of the report, the Minister of State Ministry for Administrative Reforms talked about the cities moving from 'comfort zone' to 'competitive zone'.
Can social entrepreneurs forge a more productive collaboration with corporations that yield development and business benefits? Bill Drayton and Valeria Budinich suggest that they can, as detailed in their article in Harvard Business Review. They introduce the concept of hybrid value chains (HVCs) based around four key criteria – that they create real economic as well as social value, have the potential to go to scale across borders, are profitable and hence sustainable, and offer a basis for new competition.
One hears less about the base of the pyramid these days. Instead, "inclusive" remains the clear buzzword of choice for now. The recent UN Millennium Development Goals Summit generated a side workshop on Inclusive Business organized by a roll call of organizations. Now IFC is hosting its own event on Inclusive Business Solutions around the IMF/World Bank Annual Meetings this week. The term is pervasive.