Australia has recognised the immense potential for growth in regional and rural entrepreneurship.
Despite the country’s vast size, a surprising 71 per cent of Australian entrepreneurs currently operate their businesses within major cities, indicating a significant concentration. This reliance on urban centers places Australia in the fourth position globally, tied with Lithuania. However, smaller countries like Iceland, South Korea, and Colombia have surpassed Australia in terms of their dependence on major cities for entrepreneurial activities.
Australia has shifted its focus towards promoting entrepreneurship in regional and rural areas to harness untapped opportunities beyond urban hubs. The aim is to stimulate economic growth, job creation, and community development by encouraging and supporting entrepreneurs in these regions.
Diversifying entrepreneurship beyond major cities will alleviate the concentration of economic activities and unlock the potential of local resources and talents.
Shaun Broughton, the Managing Director of APAC & Japan at Shopify, highlighted the significance of this endeavor, stating, “Australia is punching above its weight on many fronts, but there’s still significant untapped potential. Australia can further boost its global standing by supporting the growth of more businesses in regional and rural areas.”
This strategic shift opens up opportunities for businesses in regional Australia to reach the same metropolitan and even global audiences as their urban counterparts, leveraging the power of e-commerce while minimising costs associated with the property.
As Australia embraces and nurtures entrepreneurship beyond major cities, it aims to create a more balanced and inclusive business landscape. By tapping into the entrepreneurial potential of regional and rural areas, Australia can unlock new avenues for growth, enhance economic resilience, and empower local communities to thrive in the global business arena.
On a global scale, the United States holds first in the ranking, followed by Lithuania and Romania. In terms of regional performance, the Asia Pacific region demonstrates dominance in the Index, with four countries, namely Australia, China, Hong Kong, and Japan, securing spots in the top 10. Moreover, the region boasts a total of 10 countries within the top 40 rankings.
The collective efforts of Shopify entrepreneurs worldwide have resulted in remarkable outcomes. They have supported a staggering 5.2 million jobs, marking an 8.3 per cent increase from 2021. The exports generated by these entrepreneurs amount to $27.7 billion USD, showing a 7 per cent growth rate. Additionally, their contributions to GDP reach a substantial $229.3 billion USD, reflecting an impressive 8.8% increase. Overall, these entrepreneurs have generated $490.5 billion USD in economic activity, representing an 8.6% growth.
Among the countries, Vietnam stands out with the second-highest number of jobs supported, reaching 471,474, second only to the United States. Australia, leading the ranking for the Asia Pacific region, secures the sixth position globally, trailing closely behind the United States and the United Kingdom. Notably, Australian entrepreneurs have made a significant impact on GDP, contributing $17.7 billion AUD, making it the third-highest GDP impact among all countries.
Hong Kong has exhibited remarkable performance, surpassing expectations. The region secures the ninth position in the ranking, and the impact of merchants on GDP has grown by a notable 17.8%.
On the other hand, Japan emerges as a success story in the Asia Pacific region, showcasing positive growth across all metrics. Exports have increased by 29 per cent, business activity and jobs supported have risen by 24 per cent, and GDP impact has grown by 23 per cent.
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