Moderate Competitiveness Economies
As countries develop and competitiveness increases, the opportunity costs of entrepreneurship rise, which translates into greater job and career opportunities in established organizations, which employ people that might otherwise become entrepreneurs. This trend often results in rising EEA in these economies. Furthermore, as business sophistication increases, more skills are required to start businesses that are capable of being competitiv, and enterpreneurs face increasing competitive pressures in the market and a greater degree of openness to internationalization.
Those who start businesses in increasingly competitive environments also more frequently do so with increased ambition and with motives that transcend subsistence. Hence, moderately competitive economies experience greater diversification in their entrepreneur-base