Global Entrepreneurship Monitor 2023/2024

The new Global Entrepreneurship Monitor 2023/2024 analyzes both entrepreneurial activities and attitudes as well as entrepreneurship-related framework conditions.

For 25 years, the Global Entrepreneurship Monitor (GEM) has annually collected data on entrepreneurial activity and attitudes in over 50 countries. The start-up activities in Germany are examined by the RKW Competence Center in cooperation with Leibniz University Hannover. The results of the country report are based on surveys of more than 136,000 citizens worldwide (including 2,633 in Germany) in 46 countries as well as 2,000 entrepreneurship experts in 49 countries (including 78 in Germany).

What are the key findings of the current Global Entrepreneurship Monitor Germany 2023/2024?

- The start-up rate for Germany is 7.7%

In 2023, the start-up rate for Germany was 7.7%, the second-highest value in the annually collected GEM data series since 1999. The development of the start-up scene in Germany has shown high dynamics in recent years. In 2019, the start-up rate reached its then all-time high (7.6%), in the following first Corona year (2020, 4.8%), the rate plummeted. In the following two years, the rate rose sharply amid the pandemic, reaching a new all-time high of 9.1% in 2022 (2021, 6.9%), in 2023, the start-up rate decreased slightly. Overall, entrepreneurial activities in Germany have increased significantly in recent years— from 1999 to 2018, the average start-up rate was only 5.0%, significantly lower.

- Younger people are increasingly starting businesses

The age group of 25- to 34-year-olds has the highest start-up activities at 13.3%, closely followed by the youngest age group of 18- to 24-year-olds at 11.0%. Other age groups show lower start-up activities with 8.4% for 35- to 44-year-olds, 5.7% for 45- to 54-year-olds, and 3.0% for 55- to 64-year-olds. Notably, the start-up rate in the youngest age group in Germany has more than tripled from 2017 (3.4%) to 2023 (11.0%). Nevertheless, in start-up-strong countries such as the USA or the Netherlands, start-up activities in the youngest age group are still significantly higher at almost 25%.

- The gender gap remains pronounced at 3.4 percentage points

Since the start of GEM in 1999, the entrepreneurial activities and intentions of women have been below those of men. This is also the case in 2023. The start-up rate for women is 5.9%, while for men, it is 9.3%. The start-up rate for men has been higher than that for women in all years and almost all participating GEM countries (exceptions in 2023: Ecuador, Thailand, Colombia, China, and— as the only high-income country— Lithuania) since the beginning of the GEM project.

- People with a migration background are more likely to start businesses than those born in Germany

The start-up rate of people with a migration background in Germany in 2023 is 12.6%, 5.6 percentage points higher than the start-up rate of the population without a migration background (about 7%). Migrant entrepreneurs tend to be very young: the group of 18- to 34-year-olds is particularly well represented at 56.4%.

- Environmental aspects play a significant role in busin5 people are sitting at a table and looking up at the cameraess orientation

More than seven out of ten new or established entrepreneurs state that they consider environmental aspects in their business: in their company strategy, in their offered products and services, or in the design of the supply chain. Founders indicate about twice as often as established entrepreneurs that considering environmental aspects positively affects the number of customers (62.1% vs. 36.7%), revenue (60.6% vs. 28.6%), and profit (48.5% vs. 23.9%).

The Global Entrepreneurship Monitor 2023/2024 can be downloaded here.