Biases that limit investors and support organizations are often reinforced by a lack of market visibility. One unexploited solution involves using systems data to boost the visibility of the relationships that small and growing businesses have in the entrepreneurial ecosystem in which they operate.
A systems view of this ecosystem comprises the multiple entities businesses work with, such as investors, entrepreneurial support organizations, business support providers, business associations, government offices, educational institutions, suppliers/buyers and competitors. Systems data on these different players can reveal the connections and competition between them to help businesses and their supporters understand potential risks and opportunities. This data highlights where closely networked businesses have been able to grow faster, shows gaps in the market, and points out which businesses are linked to higher-performing technical assistance. This data can also be used by policy makers, support organizations and business associations to focus their development efforts. A systems view of the market can also highlight new investment opportunities, decrease inequity in investing decisions, and yield more and better returns – all of which are needed to accelerate investment in emerging markets.
Listen as we have a series of conversations with impact investors from angel to seed to private equity across Africa, the Middle East, and Asia on how they leverage systems data today and what greater access to this data could mean for the investment industry.
