Several Member States have already put in place or are considering initiatives to create an environment conducive to innovation and entrepreneurship. As a result, there is no major difference between the EU and the US as regards the creation of new firms. 3 This is particularly visible in the tech sector where EU companies are in the process of becoming world leaders in certain medium/high-tech sectors (e.g. engineering, automotive).Ī number of EU initiatives contribute to job creation and growth: the European Fund for Strategic Investments (EFSI) 4, and its extension and reinforcement, but also the Single Market Strategy 5, the Digital Single Market 6, and the Capital Markets Union 7 have also provided a framework for further improvement. In addition, a stronger focus of the European Structural and Investments Funds (ESIF) on innovation and SME support, includes venture capital support to 140,000 start-ups and scale-ups 8. EFSI agreements already target 377,000 SMEs, including start-ups.īut rather than flourishing and expanding in Europe and beyond, too few European start-ups survive beyond the critical phase of 2-3 years, with even fewer growing into larger firms. Whilst the reasons for this situation are many, it has been estimated that there could be up to 1 million new jobs created and up to €2 000 billion added to GDP in the EU over the next 20 years if the share of scale-ups would match that of the US. 10 Due to the positive link between firm size and productivity, this would improve Europe’s productivity growth. 11 12 Additionally, identifying ways to support start-ups in scaling up could also benefit traditional businesses by supporting them to operate and grow within the Single Market. start-ups looking to scale up still face too many regulatory and administrative barriers especially in a cross-border situation The results of a public consultation by the Commission earlier in 2016 confirmed this picture.
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |