Entrepreneurship is growing in most countries. That’s good news, as new ventures create jobs, drive innovation and boost productivity. In this episode of INSEAD Explains Entrepreneurship, Bala Vissa, Professor of Entrepreneurship and Family Enterprise, outlines why more people are building their own companies. And for anyone considering doing the same, Vissa offers advice on assembling a great founding team.

The rise of entrepreneurship, says Vissa, can be credited to three trends. First is the rapid development of digital technology. Entrepreneurs can now cheaply compute or build apps with generative AI. The flourishing entrepreneurial ecosystem also paves the path for self-made bosses – they can now tap a wealth of accelerators for expertise and mentoring. Just US$50,000 to US$100,000 in pre-seed capital can be enough to take a serious shot at gauging whether the market is ready for a product or service.

Finally, there's been a cultural shift among millennials and Gen Zs. They increasingly view launching their own business as a viable alternative to "cookie-cutter" corporate jobs. When your peers are setting up their own businesses, observes Vissa, you are more likely to do the same. 

Build a business with people who aren’t like you

INSEAD has a broad conception of entrepreneurship, says Vissa, who also holds the André and Rosalie Hoffmann Chair in Family Enterprise. It’s seen as a way of managing a career to mine novel opportunities, whether it’s by launching ventures, rejuvenating existing businesses or innovating within established organisations.

Whichever path you take, your personal networks are a foundational resource. Great venture ideas, Vissa says, seldom come from brainstorming alone. They emerge when you interact with diverse, knowledgeable people. So, build relationships with people who aren't like you – different in age, gender, expertise and location.

Crucially, when assembling your founding team, check that you not only have complementary skills and social capital, but also shared values and passion. This will help your team survive tough times. 

Vissa suggests that entrepreneurs ask themselves: "Can I survive being in the same room with this person for 72 hours during a crisis?"