Analysis of Influential Elements of Entrepreneurial Ecosystems

Abstract

It is evident that change is ever-present in today’s uncertain market conditions. The countries that recognize this are predisposed to reaching significant economic growth and development. Furthermore, it is important for all countries to acknowledge that the concept of growth and development has changed, compared to what it used to be in the beginning of the 21st century. Economy is now going through structural changes, from the, until now, dominant “mass economy” based on mass production and use of energy resources, to the “economy of knowledge” in which there is a market shift towards the factor of knowledge. This poses one of the most crucial challenges the countries around the world have been facing in the past decade and it is a challenge closely related to the growing importance of non-physical capital, i.e. human and intellectual capital in creating opportunities and wealth. The last few decades have seen an increase in entrepreneurial endeavors, which has certainly helped to tackle, overcome and benefit from the changes in uncertain environments. Hence the widespread understanding that the success of the economy of knowledge greatly depends on entrepreneurship, which is one of the main initiators and motors of economic growth and development. The notion of entrepreneurship has evolved as well, into a more holistic and multifaceted understanding of entrepreneurship, where there is a growing opinion that sees “ecosystems as supporters of entrepreneurship”. The purpose of this paper is to analyze the influential elements of entrepreneurial ecosystems, through a theoretical overview, during the entire life cycle of a new venture.