HSM Review

Aligning with United Nations’ Sustainable Development Goals (SDGs) of poverty reduction and inclusivity, this study proposes the concept of ‘Inclusive Entrepreneurial Ecosystem’ that encompasses and explicates the interaction between marginalized communities and associated environmental and social forces. More significantly, the study proposes an index for ‘Inclusive Entrepreneurial Ecosystem’ identified by the four principles: inclusive governance and resources, inclusive policies, inclusive culture, and inclusive markets.

Contrary to existing indices, this inclusive EE index can be used to qualify entrepreneurial ecosystems and predict entrepreneurial development. Basically, the index incorporates the following principles namely, I) Enabling Environment: Indicators such as government support programs, infrastructure development, regulatory environment, and availability of resources like capital, technology, and human talent, II) Support Networks: Indicators including mentorship programs, business networks, support of educational institutions, and community organizations that provide guidance and connections to entrepreneurs, III) Resource Accessibility: Indicators focusing on access to finance (e.g., venture capital, angel investment), markets, and intellectual property rights, IV) Cultural Factors: Indicators covering cultural values, attitudes towards risk, gender equality, and inclusion of diverse groups within society. Therefore, these indicators can aid policymakers and practitioners to identify areas for improvement in the entrepreneurial ecosystem that support marginalized communities thereby promoting inclusive entrepreneurship in developing countries.