ANALYSIS OF AUSTRIA'S ENTREPRENEURIAL ECOSYSTEM BASED ON THE GEI APPROACH

Abstract

This paper aims to provide a comprehensive analysis of the entrepreneurial ecosystem of Austria. The study used the Global Entrepreneurship Index (GEI) method and the Penalty for Bottleneck (PFB) to achieve this objective. The findings revealed a moderated entrepreneurial ecosystem with a GEI score of 65.2%. Again, the study found a strong correlation between Austria's GDP per capita and the GEI scores and a moderate score for all the three sub-indices entrepreneurial attitudes (65.5), entrepreneurial abilities (67.6), and entrepreneurial aspirations (62.4). Using the Penalty for Bottleneck (PFB) method, the study identified high growth and human capital as the bottleneck pillars. To shun the bottlenecks related to high growth, accessibility of finance, and formulation of sophisticated strategy at the institutional level are paramount, especially during this highly competitive technological era. Also, to alleviate the human capital bottleneck, the government should draw up policies that will help boost education at the tertiary level, especially at an individual level. Further empirical research can be conducted to compare the entrepreneurial ecosystem of EU countries. This study adds to the existing literature on entrepreneurship which is scanty. Additionally, this paper highlights the bottlenecks in Austria's Entrepreneurial Ecosystem and provides possible alternative policies that can enhance the entrepreneurial ecosystem if implemented.