Reasons for failure of entrepreneurial culture in Pakistan

There is no dispute among management scientists

    and economists on the importance of the role

    played by commercial entrepreneurship in the

    socioeconomic development of a society. The

    historical evidence clearly suggests that, in Pakistan, when we talk about commercial entrepreneurship, it implies informal sector; the small-scale enterprises, which dominates our lives but unfortunately have been continuously ignored in our economic policies. These enterprises are created by certain communities/networks, which in other words are one of the major sources of commercial entrepreneurship in the country. These communities are the incubators for entrepreneurs. Most of the entrepreneurs are involved in the inherited business. These communities were very effective till the last decade, since these communities usually operate in isolation from surroundings/environment, the so-called environment has changed the indigenous wisdom of these communities is no longer valid to cope up with the competition.

In west such communities do exist but these communities are linked with another very important source of business wisdom that is the universities/business schools, which work in parallel with these communities to provide idea, platform and incubation. This is primarily because the linkage/relationship between the business school and the business community is very strong, The example of symbiotic relationship between business network/community and business school are California's Silicon Valley, Massachusetts' Route 128 corridor and North Carolina's Research Triangle.

In other words the two factors; that is the business school which are source of ideas and the linkage / relationship between business school and business communities/network is not present in Pakistan. Poor entrepreneurial culture in Pakistan is due to absence of two-way interaction among business networks and business schools. Most business and professional schools are producing so called professional and the outdated curriculum does not focus on entrepreneurial mindset. Due to this irrelevant incubation the business networks are functioning upon indigenous models and outdated knowledge. It would be appropriate to say that; Entrepreneurial skills are not just inborn or inherited, they can also be developed.

Infact unfortunately, after 61 years of independence we could not catch-up with the rest of the world in much needed "Entrepreneurial culture" framework.

The root cause for this conundrum is; in Pakistan there is no clubbing together of basic research and teachings with industrial innovation, business institutes which are working are not provided with substantial business network subvention which is resulting into lack of advocacy and awareness, curriculum development and incubation centers.

With the emergence of global competition the prominence of entrepreneurial and small technology oriented businesses is increasing. Business institutes and business networks/communities need to focus on entrepreneurial academic model to change academic culture by empowering students.

Concluding; In developing countries like ours, the entrepreneurial institute is often viewed as normative as well as analytical concept; a goal to be sought rather than a reality to be investigated. The academic revolution is based upon the creation of truly entrepreneurial institute with subvention of business community.