Presentation to the Babson College Board of Trustees, February 7, 2014 The Global Entrepreneurship Monitor Donna Kelley, Ph.D. Professor of Entrepreneurship Frederic C. Hamilton Chair of Free Enterprise Babson College

GEM History Co-founded by Bill Bygrave (Babson) and Michael Hay (London Business School) The largest global survey about entrepreneurial activity, attitudes, characteristics, and impact – Individuals, not firms – Can compare across economies Involving 400 researchers around the world $8M annual expenditure globally

GLOBAL ENTREPRENEURSHIP MONITOR GEM 1999: 10 Economies GEM 2013: 70 Economies Representing 75% of the World’s Population – 90% of the World’s GDP

GEM Global UK Charity: GERA Board Executive Director Coordination team (administration, data) Marcia Cole at Babson GEM National teams Academic teams fund and oversee survey in their economies (>=2K) $12K central coordination fee U.S. team is based at Babson, survey is funded by Babson (~ $90K) Baruch College contributes $50K Babson is the lead global sponsor at $200K UDD (Chile): $100K Unirazak (Malaysia): $100K GEM Structure GEM Global Annual Report GEM U.S. National Report Global Special Topic Reports Women – Growth - Finance Youth Other (education, corporate, social) New Opportunity? GEM Policy Monitor

GEM’s Impact Over 250 academic journal articles with GEM data Includes highly ranked journals (Journal of International Business Studies, Journal of Management Studies, etc.) Reports and datasets downloaded in 2013 GEM website: 478,993 Babson website: 13,967 Policy makers use GEM to assess entrepreneurship and inform policy decisions Presented in the U.S. at the State Department, World Bank, NGA Nearly a half million downloads

GLOBAL ENTREPRENEURSHIP MONITOR GEM Media Hits Frequently referenced in: Wall Street Journal, CNBC, Economist, Financial Times, Huffington Post, Business Week, Reuters, Washington Post, New York Times, etc.

Total Early Stage Entrepreneurial Activity

It’s Not Just About Numbers of Entrepreneurs Will they create jobs? – Developed economies: fewer entrepreneurs – But more often opportunity-driven and projecting high growth Can they sustain their efforts? – Less developed economies: more entrepreneurs – But fewer mature business owners and more exits Is everyone participating? – Among 70 economies, 7 have equal rates among women and men (Brazil, Ghana, Nigeria, Uganda, Zambia, Indonesia, and Switzerland)

Entrepreneurship and the Business Cycle: United States

State-Level Results in the U.S.

Opportunities for Babson Global – Policy Monitor Include secondary sources on ecosystem factors National-level insights from teams – Global Policy forum: collaboration of academics with policy experts United States – State-level sampling – Policy forums in the U.S.