Presenting the GEM 2002-2005 survey in Zagreb on Thursday, Croatian Economy Minister Branko Vukelic said that Croatia was on the right track and that it should continue with its efforts because it had a lot of potential for the development of entrepreneurship.
The survey shows that the index for beginners and new entrepreneurs in Croatia has gone up from 3.62 percent to 6.11 percent. This means that in 2002 there was one entrepreneur per 30 adult residents, while in 2005 there was one entrepreneur per 16 residents.
Slavica Singer, who chairs the steering board of the Centre for the Development of Small and Medium Enterprises and Entrepreneurship, which presented the findings of the survey with the Economy Ministry, warned that necessity rather than business opportunity was the main reason for starting a business in Croatia. Croatia ranks 6th on the list according to the necessity index and 32nd according to the business opportunity index.
Singer also warned about insufficient export orientation and the fact that 74 percent of new entrepreneurs did not have any customers outside Croatia.
The survey also shows that the number of small enterprises with growth potential has increased, that regional differences are decreasing, and that new businesses are mostly started by people with secondary education, while in other countries they are started mostly by highly educated people.
People starting a new business in Croatia are aged 35-44, while in other countries they are aged between 25 and 34. Men are 3.79 times more frequently involved in entrepreneurship than women (this difference in other GEM countries is 1.6 times).
The survey also assessed the enterprising environment, with most categories receiving marks below three, while the government's policy received the lowest mark.
GEM surveys have been conducted since 1999. Croatia was first evaluated in 2002.