Value Proposition

The MIT GSW 2008 SA Conference will focus on the challenges and opportunities of entrepreneurs starting their businesses in developing economies.

South Africa is the powerhouse of Africa, producing about 40% of the GDP of the continent. The success or failure of South Africa to provide a pro-active impetus to launch and grow new entrepreneurs will affect the continent. Although other African countries have successful entrepreneurial examples, the momentum of these businesses as role models will remain limited compared to the effect that South African initiatives could have. South Africa is therefore the ideal location for the 2008 MIT GSW Conference.

Entrepreneurs in developing countries face particular challenges in starting and growing their businesses. These challenges are not necessarily unique or specific to developing countries, but are more prominent than in developed economies and include:

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  The cost and availability of Information Technologies, especially broadband internet access;
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  The availability of risk capital focused at early stage new ventures;
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  Proximity and access to global markets – specifically Europe and the USA;
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  The lack of entrepreneurial role models – entrepreneurs who are home-grown and self-made;
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  Meaningful and effective government support for the creation of sustainable new ventures;
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  Limitations of a local economy and the threat of imports;
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  Attracting and keeping talent in a global world where young talent is increasingly mobile.

Although the above challenges sound formidable, developing countries also offer unique and exciting opportunities to budding entrepreneurs:

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  There is the uniqueness of local knowledge. Big corporates entering these
  regions are often completely out of touch with local realities;
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  There is a captive market that could serve as a test-market prior to entering the more competitive global market;
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  There is an increased awareness amongst governments of developing countries of the importance of entrepreneurs and small business and very lucrative incentives are being introduced to support local entrepreneurs;
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  Developed countries are also becoming aware of the importance of sustainable markets in the developing world, and see local entrepreneurs as key players in achieving this;
• 
  Globalization is a double-edged sword and in many instances offers big opportunities to compete globally with less expensive local resources.

Although the spotlight will fall on developing countries in the broader sense, the focus will be on the African continent. The idea is to concentrate on Africa's challenges and opportunities, applying lessons learned from elsewhere, for example India, Malaysia, Brazil and China.

The conference will aim to stimulate and expose governments and entrepreneurial support organizations in Africa to leading edge thinking and success stories from around the globe, but relevant to the realities of the African continent. It will be a platform for networking these institutions and leaders with their African counterparts. At the same time, it hopes to expose potential investors and support organizations from around the world to the realities and opportunities of Africa. It will also aim to provide perspective and hope to entrepreneurs on the continent.

In order to achieve these aims, SHAKE!, as conference organizer, will involve a wide spectrum of participants. This will include academic institutions, NGO's, government departments, entrepreneurial support initiatives, and successful entrepreneurs of the continent. It will also link up with relevant institutions and experts in other developing countries.