Why we need more and better entrepreneurs?

Four decades ago, the demand for goods in the world exceeded the supply. There was enough demand to consume everything that was fabricated (Parente, 2006). The main concern of business owners then was to produce quickly, efficiently, and inexpensively. The problem was not to sell but to produce. The most important economical actor then, along with the traditional productive factors (capital, human resources, and land), was the manager. A good manager could warranty business success because all was about an effective administration.

In the sixties, to become a business owner required large capital because big demand required big cash flow. However, as the capitalist system continued its expansion, larger efficiencies were created and more resources were liberated to invest in new businesses and knowledge. When the accumulation of capital was faster than the creation of new businesses, the productive factors became more accessible. When supplies surpassed demand in more sectors of the economy, strategies based in cost reduction began to be replaced by differentiation and customization. Businesses became oriented to the client rather than to the production and management practices began in search of creativity and innovation.

The increasing acceptation of the rules of free enterprising enlarged the global market, boosted competition, and originate a surplus in emerging economies. Political leaders stop debating about the best social system to administrate a nation. After decades of intense ideological disputes and military interventions, private property, competition, and free markets are accepted by most countries as the cornerstones to organize societies and achieve common well being.

Governments continue implementing reforms and multinational agreements to take advantage of the global market to grow economically. The larger the market the more competitive the creation of new businesses. When businesses are customer oriented, markets have not boundaries, and governments pursue economic growth, entrepreneurs become the fourth factor of production (Moschandreas, 1994; Glance and MaQuaid, 2000) and the major allies in the strategy of development of modern nations.

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