The Role of Entrepreneurship in Economic Development in Saudi Arabia

Abstract

One of the key objectives of modern economics is to determine factors that influence the economic development. This paper, therefore, seeks to discuss entrepreneurship as one of the factors that influence the economy of a nation, either directly or indirectly. It is a fact that entrepreneurship plays a significant part in shaping the landscape of a country's economy. Economists and policy makers recognize this fact. In fact, entrepreneurship is the engine of economic growth and it has come to be perceived as a catalytic agent for expansion and promotion of productive activities in every sphere of economic life all over the world. This research will focus on finding out how entrepreneurship influences the economy of Saudi Arabia. The paper will begin with a brief introduction of the topic before proceeding to present a comprehensive review of literature relevant to the topic. It will then proceed to present an overview of relevant variables used in determining the role played by entrepreneurship in the economy of Saudi Arabia. There will then follow a discussion on the disadvantages of entrepreneurship to the economy. The paper will end with a conclusion summarizing all the keys points discussed, research limitations, and recommendations for further research.

Financial Sector Development, Openness, and Entrepreneurship: Panel Regression Analysis

“…The European Commission [2] considers entrepreneurship as "a process that has the potential to lead to the creation and expansion of firms". Seen as the driver of the society [3][4][5] and one of the main engines of economic growth [6][7][8][9][10], entrepreneurship also plays an important role in increasing communities' living standards [11]. Furthermore, Dejardin [12] suggested that economic growth is faster as the share of innovative entrepreneurs in the labor force increases.…”

Entrepreneurial Culture and Orientations of SME Owners/Managers in the Kingdom of Bahrain

“…Entrepreneurship, as an omnipresent aspect of human activity, is the economic engine driving many nations' economies in the global competitive landscape (Fritsch and Wyrwich, 2017;Yusuf and Albanawi, 2016;Toma et.al., 2014;Van Stel et.al., 2005). In the GCC, entrepreneurship is considered as the key plank for economic diversification, employment creation and sustainable growth (Miniaoui and Schilirò, 2017).According to the Economic Development Board (EDB) of Bahrain, the aggregate scale of the importance of SMEs for many countries specifically in the GCC, in terms of generating growth and employment, cannot be underestimated.…”