Research shows supporting entrepreneurship in low-income countries may be one of the most effective ways to permanently reduce global poverty. Despite this, this method of poverty reduction has often been overlooked. This is due to the fact that there has been limited information on its positive impact. However, with more information compiled, individuals in positions of power have sought to make it a focus of poverty reduction. The Global Partnership for Poverty and Entrepreneurship (GPPE) is an organization that has collected a plethora of this data. The resources on the GPPE website provide countless examples of poverty alleviation and entrepreneurship.
The Global Partnership for Poverty and Entrepreneurship
Established in November 2019, the GPPE officially launched in May 2020. This partnership was created by the University of Notre Dame with the intent of building up a research base that can help with future initiatives in supporting low-income individuals with entrepreneurial pursuits throughout the world. In an interview with Dr. Michael Morris, the head of this start-up, the three main objectives of this organization became clear. The first objective was to gather information on entrepreneurial startups in poor communities throughout the world. The second objective was to teach individuals about compiled information within poor communities in order to allow for community uplift. The third objective was to reach out to academics who have an influence on getting more research done on these topics and easily spread techniques to those within their academic influences.
Overall, the GPPE wants to get more people on the ground within impoverished communities. These people would support the poor with their entrepreneurial endeavors. The GPPE is currently setting up example programs within the United States. The purpose of these programs is to prove resources in various areas can be useful in supporting low-income individuals. Within South Bend, Indiana one of these example programs is the Urban Poverty and Business Initiative. This initiative uses resources from the Notre Dame community, especially from the students, to help poor individuals set up entrepreneurial endeavors. Students have helped create social media platforms and helped with marketing for the impoverished in the South Bend community. This is just one idea countries around the world can use to help reduce global poverty.
Entrepreneurship Among the Youth in Swaziland
A study on the youth in Swaziland has provided important information on where certain entrepreneurial systems are lacking within Africa. Other countries can use this study as a resource to help enact systems for poverty alleviation through entrepreneurship. Inadequate work experience provided within universities, a lack of youth voice in entrepreneurial policies and weak business environments are all factors that have driven the youth within Swaziland to have poor entrepreneurial experiences in the past. Organizations like the Youth Enterprise Fund, created in 2009 in Swaziland, have struggled to support new entrepreneurs.
Models have, however, been created in order to show the effects of government intervention when it comes to reducing obstacles that hinder the growth of young entrepreneurs, which can be extremely useful. Examples of influential government intervention include granting youth greater access to capital and giving them business training. Business training in particular has shown to make an enormous difference among the youth of Swaziland with regards to sales. A mixture of giving the youth in Africa more educational resources and professional connections has proven to greatly improve their entrepreneurial success and thus help them rise out of poverty.
Poverty-Reducing Work of Women in Bangladesh
In many low-income countries, the workforce does not utilize women as often as men. This can cause the viewpoint of women being financially burdening. Creating entrepreneurial and employment opportunities for women positively impacts their livelihoods. This is especially true for women living in rural areas. Within Bangladesh, a company called Hathay Bunano has given women both jobs and resources to build enterprises on their own. What this establishment has found is that not utilizing women is a huge waste of production resources. This includes supporting more women artisans through developing pride in the ownership of a product.
Hathay Bunano has worked to employ women who are at the most disadvantaged positions within Bangladesh. The organization has shown that simply giving these women jobs boosts their self-confidence in order to create better lives for themselves. Hathay Bunano is a company that produces hand-knit toys which is important in the context of proving that handicraft businesses can thrive in a competitive economic market. Overall, evidence shows providing grounding for poor women to start businesses that can be supported by their skill levels is plausible.
In conclusion, information that the GPPE has compiled, including the two studies mentioned above, shows poverty alleviation and entrepreneurship can go hand in hand. Working to inform more individuals on how communities can support the poor in their creation of businesses and entrepreneurship will transform low-income countries’ economies and the lives of the poor within them.
– Olivia Bay