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Synchronization between Government and Entrepreneurs
Governments are well-intentioned but often out of sync with entrepreneurial behavior. Governments have less money for funding than people think, and that creates a big mismatch in terms of expectations. In addition, very few people in government have a background as entrepreneurs and it is difficult for them to understand start-ups in depth. Finally, governments move (and must move) slower, functioning on four-year cycles, while entrepreneurs talk about periods of days and weeks.
Defining the Government's Role as a Feeder not a Leader
A start-up community must be driven by entrepreneurs, not by government. Our position is that government exists to support, not to create; to stimulate agendas, not to invest or create entrepreneurial activity. Having said that, its role is still highly important—we cannot develop a start-up community without government involvement as a feeder.
Matching Hierarchical Structure with Networked Entrepreneurs
Governments have clear roles, chains of command and processes to allocate and approve resources. In other words they operates in a hierarchy, while the best start-up communities operate as networks—several leaders working in parallel on different initiatives. Talking about entrepreneurship and government thus generates an oxymoron, but only on the surface; they are two sides of the same coin.