Facilitating a soft landing for new start-up companies in Algeria developed by innovative entrepreneurs

Abstract

Abstract As a result of incentive policies, a significant number of young entrepreneurs are setting up a business in Algeria every year. The majority of these new businesses are very small and/or one-man businesses. Many of them turned out to be unsuccessful despite of some entrepreneurs having been innovative. There are also many repatriated entrepreneurs (returners) who have tried to start a business in Algeria and have encountered similar difficulties and have therefore stopped their project midway. This article aims at understanding the impact of the Algerian legal and business frameworks on the entrepreneurial dynamic. Indeed, as a rule, it seems that for many years, the entrepreneurs encountered rigid administrative procedures and many difficulties in securing human resources and sufficient funds for starting. This research also investigates the factors that prevent entrepreneurs from continuing with their project. Our empirical investigation will focus more particularly on the entrepreneurs coming from the Algerian diaspora. This work demonstrates that entrepreneurs' perception about the business climate does not vary significantly on both sides of the Mediterranean Sea, despite the continued implementation of structural reforms. We intend to identify and analyse the problems faced by entrepreneurs in 2017 and the incidence of new business facilities in Algeria.