Deloitte Access Economics has found that Victorian startups will continue to create thousands of high skilled jobs and play a central role in Victoria’s economy recovery post the coronavirus (COVID-19). Commissioned by LaunchVic, Victoria’s startup agency, the report found that in 2019 the Victorian startup ecosystem contributed $2.4 billion in value-add to Victoria’s economy, and 19,000 jobs.
Uncertainty surrounds our current economic trajectory – just like COVID-19.Startups and startup ecosystems, from economic policy and commercial perspectives, are that bridge between the current economic growth path, and the creation of a new growth trajectory which will drive economic recovery, income, and jobs into the future.
Embracing innovation, fostering entrepreneurs and increasing the role of the startup ecosystem in creating jobs and growth could see the startup sector increase Victoria’s Gross State Product (GSP) by $7.6 billion over the next 20 years, adding an additional 15,700 jobs.
This economic growth trajectory is not a given or a constant and productivity is not an accident.
It is ultimately powered by deliberate innovation and creativity, given economic form in startups, entrepreneurs, and the ability of existing economic organisations to adopt, adapt and facilitate the diffusion of new ideas into the market.
This is a key area for government economic policy agendas globally and in Australia – and is one which requires an understanding of the processes which give rise to innovation and the translation of this into economic outcomes.