Entrepreneurial Process and a Supportive System for External Entrepreneurs in Poverty-Stricken Rural Areas

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  • A Case Study of the West-Dukouyi Village in Shandong Province, China

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<p>Building a supportive environment for entrepreneurship is currently a widely discussed issue for rural development, and has eliminated the issue of poverty in numerous rural areas. However, conditions in some regions are worse ; they do not have the pertinent location or regional characteristic products that aid poverty alleviation. How to build an environment that supports entrepreneurship and attracts external talents to these regions has become an international issue. According to research from various areas, it is difficult to leverage social capital, while the government is almost the only source of support. However, research on this subject is still insufficient because the existing literature has rarely investigated villagersʼ autonomous organizations and external entrepreneurs. Therefore, this study takes Chinaʼs rural poverty-stricken village as an example, studying the entrepreneurial process of establishing a rural professional cooperative. As a result, it establishes a cooperative relationship between external entrepreneurs and local villagers, utilizing the existing policies and resources. On the one hand, external talent mediates entrepreneurial plans based on local conditions ; on the other hand, the local villagers and autonomous organizations gather resources to enlarge the business. Besides, the leader of the local villagers can receive governmental funds as crucial financial support.</p>

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