Year
2018

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"This report, designed for international development organizations, governments, and financial institutions, does the following: 1) highlights the key barriers facing women-led small enterprises across the developing world; 2) identifies how hidden gender and ethnic biases impact the growth of women-led businesses; 3) presents the results of a pilot case study in Guatemala inspired by a novel methodology, first applied to mortgage lending in the United States, that seeks to test for bias in bank-lending decisions for small enterprises; and 4) provides recommendations for policymakers and financial institutions on how this methodology can be applied in developing countries."

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"Over the past several decades, U.S. venture capital (VC) firms have focused their attention and investment dollars in specialized regional hubs where high-tech entrepreneurship tends to flourish. As a result, "main street" businesses such as retail stores, consumer services, and other non-tech businesses typically find it incredibly difficult to secure equity funding. Yet, in recent years, crowdfunding (CF) has become a viable new source of funding for entrepreneurs. Using a longitudinal assessment of VC and CF at the national, regional, and sector levels in the USA, we demonstrate how the emergence of CF has unlocked new growth opportunities for main street entrepreneurs, particularly those located in underserviced funding regions. Likewise, we expose how CF augments national and regional funding patterns by re-allocating funding to industries that VCs typically do not fund. Lastly, we discuss the practical and theoretical implications of what appears to be a shifting venture funding regime, and shed light on CF's potential role in enhancing the resurgence of main street entrepreneurship across the USA."

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"Risk is an inherent feature of agriculture around the globe. The ever-present uncertainties in weather, yields, prices, government policies, global markets, and other factors can cause high volatility in farm income. In developing countries, smallholder farmers (and other small enterprises within the value chain) often do not have access to risk management products such as insurance to protect themselves from shock. Key barriers to the development of insurance markets in developing countries include: lack of awareness and understanding about insurance among households, high overhead costs associated with data collection and claims processing, and the limited availability of insurance products that meet the needs of poor and low-income farmers.

The use of digital tools in agricultural insurance has the potential to facilitate client uptake, reduce transaction costs, improve efficiency of the insurance process, and increase household resilience to respond to external shocks while ensuring stability, growth, and sustainability of agricultural value chains. Technology has its shortcomings, and the use of digital tools alone will not be sufficient to increase access to affordable, quality agricultural insurance for smallholder farmers. However, when strategically and thoughtfully inserted into existing Feed the Future programs, technology has the potential to accelerate and amplify USAID investments in sustainable agriculture and food security."

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"This study provides an insight into social enterprise in Malaysia, including an estimate of the scale and scope of the sector. It assesses existing policies that are relevant to social enterprise and analyses how these have been implemented. This study is based on quantitative information obtained from a total of 132 survey respondents across Malaysia."

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"ANDE, the Center for Development Alternatives, Enterprise Uganda, and Koltai & Company released the Phase I findings of ANDE's Uganda Entrepreneurial Ecosystem Initiative on November 28. The Phase I report maps the entrepreneurial ecosystems of Kampala and Gulu—two key regions for Ugandan economic growth. It then outlines a strategic path forward for promoting entrepreneurship in these regions, recommending specific actions to overcome ecosystem constraints. The second phase of the initiative will use these findings to design and implement a multi-stakeholder, multi-million-euro program to develop Ugandan entrepreneurship, beginning in 2019. Read the full report."

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"This report proposes a new segmentation framework to help financial service providers, enterprises, donors, limited partners (LPs), and field-building organizations understand and navigate the complex landscape of SGB investment in frontier and emerging markets. The segmentation framework we propose uniquely integrates a number of approaches often used independently, but rarely in concert with each other. Our methodology combined perspectives from leading SGB investors on how they segment the market; analysis of enterprise-level quantitative data from multiple SGB investors; and behavioral analysis of entrepreneurs using human-centered design techniques. We focus on enterprises with five to 250 employees and financing needs ranging from $20,000 to $2 million. We include both impact-oriented and traditional, “bread-and-butter” enterprises within the scope of this study. We do not include enterprises that are informal or are unlikely to embark on a path of formalization, due to their limited growth prospects and the major difficulties financial service providers face in serving them."

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"This report is primarily written for business and its role in supporting education and the SDGs. It is also meant to support the education community and other organisations with a stake in advancing education and training for sustainable development. The report shares a selection of good practice examples and insights that are intended to help raise awareness, spark new ideas and inspire more opportunities for collaboration."

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"A randomized control trial with 432 small and medium enterprises in Mexico shows positive impact of access to 1 year of management consulting services on total factor productivity and return on assets. Owners also had an increase in "entrepreneurial spirit" (an index that measures entrepreneurial confidence and goal setting). Using Mexican social security data, we find a persistent large increase (about 50 percent) in the number of employees and total wage bill even 5 years after the program. We document large heterogeneity in the specific managerial practices that improved as a result of the consulting, with the most prominent being marketing, financial accounting, and long-term business planning."

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"Working with five Ethiopian firms, we randomized applicants to an industrial job offer, an "entrepreneurship" program of $300 plus business training, or control status. Industrial jobs offered more and steadier hours but low wages and risky conditions. The job offer doubled exposure to industrial work but, since most quit within months, had no impact on employment or income after a year. Applicants largely took industrial work to cope with adverse shocks. This exposure, meanwhile, significantly increased health problems. The entrepreneurship program raised earnings 33 percent and provided steadier hours. When barriers to self-employment were relieved, applicants preferred entrepreneurial to industrial labor."

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"The Impact Management Project is a global effort of over 700 organizations to share fundamentals for how to talk about, measure and manage impact. This involves a thorough understanding of the investor's perspective, and how asset managers view impact on people and planet. The report describes the "five dimensions of impact" and what fundamentals investors and businesses should agree on to achieve their impact goals."

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