With new economies emerging, governments have been trying to find the way to shift from a production-based economy to one built with knowledge. One government is proving to know exactly what is doing: Chile’s.
The Chilean government launched an initiative called Start-up Chile that offers a one-year-resident visa and forty thousand dollars to 25 entrepreneurs that prove to have high-growth and scalable ideas.
With the hopes of attracting gold-value talent to the region, the Chilean government announced this new program in a time in which local entrepreneurs have started to show interest in building a business cluster that allows the technology industry to grow and develop.
As management guru Peter Drucker mentioned in his book Innovation & Entrepreneurship the market rewards entrepreneurs who bring good ideas into action, however this same market will outstandingly reward entrepreneurs who take a real risk and innovate. This has motivated many professionals into starting their own technology company.
However this reward will not only benefit the owner; suppliers, employees, investors and of course the government are among those who will also benefit if a company does well in the future. As Mexican-born Juan Enriquez Cabot, the former director of the Life Science Project at Harvard Business School stated in his book As the Future Catches You it takes smart governments to understand today’s knowledge economy and only those that understand the implication of it will lead and set example to others.
Chilean entrepreneur Daniel Undurraga founder of Clandescuento.com which has been recently acquired by Groupon thinks this new initiative is genius. “Chile is a model for other countries in Latin America but is small market that needs immigration. If immigrants bring value and make our country competitive we are much better off”.
Chile’s government has shown with its new investment program that they not only understand this new economy but that they want to be the leaders in the race to build Latin America’s first technology business cluster. It is indeed a battle any country would want to win, you know why? This generation of entrepreneurs will cross borders to build greatness, so watch out and keep an eye on Chile.
- Are you a Chilean entrepreneur? What has been your experience with CORFO?
- If you are not from Chile, what is your local government doing to promote startups?