ENTREPRENEURSHIP
DURING AN ECONOMIC
CRISIS

If we fall back on history, it is clear that a faster route to massive socioeconomic development of nations came about through the entrepreneurial route. We can analyze from the latest case study of our neighbor China. According to Economist, entrepreneurship has generated significant economic growth and job creation in China. Over the last 35 years, the entrepreneurial sector has grown rapidly from almost zero to more than six million registered private businesses, and this may be a conservative estimate. China’s battle against poverty has benefited the largest number of people in human history. According to a recent World Bank report, China has lifted 800 million people out of poverty. This was not possible without entrepreneurship. Governments can not eradicate poverty only through state owned initiatives or relying on foreign investments.

Entrepreneurs create new businesses and employment opportunities for people. Entrepreneurship is more than starting up a business. It delivers empowerment and solutions. In addition, it supports vendors, contractors, and other small businesses that provide necessary products and services such as shipping, transportation, supplies, food and the like.

Building these companies provides essential new jobs, and equips others as they build skills. According to Statistica , Pakistan’s e-commerce industry contributed to estimated annual revenue of $2 billion as a result of a 100 percent growth in the country’s online shopping segment.

After COVID-19, Pakistan now presents one of the healthiest environments to start a business. Apart from the poor economic indicators, young people are taking initiatives on their own and massively contributing to the economy. Startups like Careem and Foodpanda provided thousands of jobs in the society. The interesting fact here is; it is all organic. There is no regulatory body on entrepreneurship and startups. People are doing on their own. They may be starting with a limited understanding of business management and finance but are gaining higher knowledge and education during the scale up the process.

I don’t see socio-economic stability in the next few years in Pakistan. The state can not ensure basic needs including food, nutrition, health services, education, water, sanitation, and shelter. Only those who earn well can afford these facilities from the private centers. So if you really want to help others, start a business and if you are already running a business then its time to scale it up so you can provide employment opportunities to the unemployed. Lets not wait for the government, lift people out of poverty through startups and entrepreneurship!