May 06, 2007

Why developing nations need entrepreneurs

Emeka writes about the growing problems in developing countries and why all such countries need entrepreneurs. (link)

The problem is that we mistake that importance of technical ability, and vastly underestimate the importance of entrepreneurial ability. Our schools are organized to produce technicians in all fields, and from age 16 a student must narrow down their course of formal study (for life in most cases) to four subject areas and General Paper.
The truth is that educating another lawyer, doctor or accountant is unlikely to contribute much to our GDP. Narrow technical abilities are admirable, but nowhere near as vital to countries in which the large mass of people cannot afford to use them.
What most developing countries need are not more professionals with masters degrees in contract law, but more entrepreneurs who are willing to hire ever increasing numbers of ordinary people.


If you think about India, all of this is true of all places except for Gujrat. For they say that in any other part of the country, if your son is useless, he starts a business, but in Gujrat it is the smarter breed of Gujjus who get into business. And who says they don't have anything to show for it.