Institute for Business in the Global Context

Where the World of Business Meets the World

Category: Global Research Fellowship

Global Research Fellowship: $400+ Million to Create a Knowledge-Based Economy?

by Nadim Choucair (MALD 2016) and Thomas Flynn (MALD 2017)

With no warning, Banque du Liban, the Lebanese central bank, issued Circular 331 in August 2013. If you believe some people, the idea for the Circular came directly from the mind of BdL’s governor, who conceived of it while flying from New York City to Beirut. Others say that it was created at the behest of the Lebanese banks to allow them to invest some of their reserve capital. Whatever the case, the Circular — designed to spur economic growth and create more and better paying jobs — seeks to foster a “knowledge-based economy (KBE).” Essentially, the Circular is a guarantee scheme which encourages Lebanese banks — an economic pillar of the country, yet very risk averse — to invest up to 4% of their capital, amounting to at least $400 million, in startups, incubators, accelerators, and venture capital firms.

The "buzz" surrounding entrepreneurship in Lebanon is palpable

The “buzz” surrounding entrepreneurship in Lebanon is palpable

In summer 2016, we went to Lebanon to answer the question: Given the context of Lebanon, is Circular 331 the most effective way to improve access to finance and therefore to help create a knowledge-based economy?

Lebanon’s economy has struggled since 2010, its political institutions are ineffective, and its infrastructure is weak. The rise of the Islamic State and the war in Syria have scared away foreign investors and tourists, particularly those from the Gulf. Lebanon’s traditionally strong real estate and tourism sectors have subsequently faltered. Instead of focusing on these traditional sectors, the Circular builds on the wave of tech entrepreneurship, and corresponding support organizations, that emerged in Lebanon in the mid-2000s.

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Global Research Fellowship: Entrepreneurship in Nunavik – A new way of sharing?

by Nathan Cohen-Fournier (MIB 2017)

To share: to allow someone to use or enjoy something that one possesses. We can share what we possess in substance such as food or toys. We can also share immaterial matter such as time, memories, or affection. The meaning of words evolves along with the context and culture in which societies operate. That is to say the transformation is continual.

Nunavik skyline

Nunavik skyline

For the past 50 days, I have been conducting a research project on entrepreneurship in Nunavik, the northern portion of Québec. Inuit account for approximately 90% of the region’s 12 090 inhabitants and live in 14 villages connected solely by air and maritime transport, when possible.

When I first arrived, I was craving to discover spiritual bonds uniting native peoples with nature. I believe in the interconnectedness of life and matter. I was initially disappointed to discover a community in many ways similar to the ones “down south,” so clearly distinct from its surrounding environment. Maybe the spirituality I was looking for expressed itself in a way which I had not expected. I couldn’t force the discovery of what I wanted.

That’s when I started to realize the extent of sharing in modern Inuit culture.

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