Entrepreneurship... not a family affair?

The latest Sensis Business Index has found 60 per cent of small businesspeople do not come from a family of business owners, ABC reports.

The survey also indicates first-born children are more likely to become entrepreneurs than the youngest child, a finding that contradicts popular belief on SME related family dynamics.

However, Swinburne University management researcher Professor Murray Gillin suggests the findings need to be viewed with caution.

He says passion and commitment – as opposed to birth order or family background – are ultimately the hallmarks of a successful entrepreneur.

Comments

[Matt Chapman]

I could not agree more with Professor Gillin.

In a society such as Sweden where "swimming against the flow" is traditionally frowned upon, passion and commitment are the two traits entrepreneurs require in abundance.

At SSES in Stockholm, we have found that one of the biggest barriers to entry is self-belief and a need for inspiration. Most people in all societies have great ideas, but very few take them beyond the conceptual stage. And those that do come from a variety of family and demographic backgrounds.

Students at undergrad and postgrad level are a particularly innovative target group, and one that is relatively neglected in many countries and/or studies.

By nurturing students' ideas, inspiring them and teaching them the venture creation process and managerial skills, the chances of their plans coming to fruition increase exponentially.

While I understand the appeal of the Sensis report blueprinting certain characteristics, I believe it does not scratch the surface of more immediate issues.

For example, the pools of entrepreneurial talent that leave our universities each year to disappear into the dark corners of 3M, Unilever or P&G. And especially in Australia's case, highly capable postgraduate students being sent back to their home countries in Europe, North American and Asia.