Unlocking Algeria's Economic Potential: The Entrepreneurship's Effect on Growth

Ii. Literature Review

The majority of empirical study has been done to explain how entrepreneurship in Algeria contributes to economic progress; many academics believe that entrepreneurship effectively plays a role in emerging nations' economies, as follows (Klapper, Amit, Guillén, & Quesada, 2009): According to The World Bank Group Entrepreneurship, this database contains cross-country, time-series data on the total and newly registered businesses in 101 countries for the maximum period of 2000 to 2008, which is used in this paper to provide new evidence on entrepreneurship and firm formation across countries. The quality of the legal and regulatory framework, governance, and measures of economic and financial development and growth have substantial correlations with entrepreneurial activity in this study. The data demonstrates how crucial electronic registration processes are to promoting more business registration. These findings can inform wise policy decisions and provide fresh tools for evaluating the effects of changes. SMEs, which stands for small- and medium-sized enterprises, are likely to be the most susceptible to economic hardships (Khalil, Abdelli, & Mogaji, 2022). However, they tend to focus on low-value products and services instead of high-value ones (Arabeche Z, Soudani A, Brahmi M, Vinci CP, & MEA., 2022). In Algeria, various incubators have been established across the country to support the development of small and medium-sized enterprises (SMEs) (Zina Arabeche & Abdelli, 2021).