The Spirit of Entrepreneurship and the Commonwealth Government of Australia

Traditional research on entrepreneurship holds that entrepreneurs share common traits resulting in their spirit of entrepreneurship. More recent literature suggests that this spirit is kindled by particular situations arising in the environment. Lately, some governments have introduced measures intended to serve as a catalyst for entrepreneurship. In an address to the nation in 1986, R.J.L. Hawke, the Prime Minister of Australia, committed the federal government of the Comonwealth to alter the environment in ways likely to encourage entrepreneurship. Since then, the Australian Government Publishing Service has published a booklet, Sound Advice for Small Business, which includes a guide to over fifty publications, films, and cassettes distributed by the Department of Industry, Technology and Commerce. The Department also offers correspondence courses on planning and staring entrepreneurial activities. The rationale for the government's incentives, in Australia as elsewhere, is that a vigorous and efficient small business sector is essential to the health of most national economies.In Australia, for example, half a million small businesses account for 40 percent of private employment in urban areas. They often generate more direct jobs per unit of invested capital than larger firms. Yet small business faces many disadvantages vis-a-vis larger competitors, such as a lack of easy access to credit and the lack of economies of scale. For such reasons, the federal government of Australia seeks to provide small businesses with access to expertise and facilities that will provide efficient operations and viable development. Federal Organization The central and regional governments of Australia have come to an agreement whereby the various states assume responsibility for the provision of direct services to small businesses, such as counseling, training and information. The Commonwealth government serves as coordinator and provides support functions such as research, publications, and training materials. The Commonwealth Department of Industry and Commerce also chairs and services the unit called the Small Business Working Party, made up of senior officials from both tiers of government. The unit meets regularly in order to monitor developments in programs assisting small business, to provide a communication channel among the various small business agencies, to develop and implement a joint program of assistance to small business, and to develop policies and proposals for submission to the Standing Committee of Officials to the Industry Ministers' Conference. The result of these efforts has been a fully coordinated inter-government small business program in Australia, the success of which may serve as an example to other countries. Specifically, at the federal government level, the Department of Industry and Commerce has provided a focal point for the overall program, coordination, and common services where common needs were evident. A nationwide management training program has been established, based upon the distribution of multimedia management training packages. These are promoted and supported by the states. Together, the Commonwealth and the states have published a wide range of small business textbooks, management aids, and small business profiles. Total sales are in the vicinity of one million copies. Efforts to Help Small Business to Export The national policy announced by Prime Minister Hawke on June 11, 1986 includes measures to enhance export capabilities of Australian small business in order to curb the current trade deficit. …