The Vital Role of Entrepreneurship for Tomorrow’s Livelihoods

By Liang Cheng & Yang Song

Introduction

In an ever-evolving global economy, entrepreneurship represents not just a pathway to profit—but a cornerstone of resilient, inclusive livelihoods. Recent reports from 2024–2025 highlight its transformative effects on poverty, youth empowerment, climate resilience, and sustainable development.


1. Entrepreneurship as a Lifetime of Livelihoods

  • A 2024 solar energy entrepreneur survey found that women-led clean-tech ventures raised community incomes and improved climate resilience through reliable energy access (journals.aom.org, undp.org, solarsister.org).
  • The ICC’s 2024 Centre of Entrepreneurship report underscores SMEs’ power to stabilize economies and ensure employment through global trade networks (iccwbo.org).

2. Driving Sustainable Livelihoods Growth

  • The 2025 Sustainable Livelihoods Report documents a leap from 60–65% to 75% in participants achieving economic growth in 2024 (momentum.org).
  • UNCTAD’s July 2024 report highlights entrepreneurship as essential to meeting UN Sustainable Development Goals, connecting environmental resilience with economic opportunity (unctad.org).

3. Empowering Marginalized Communities

  • Longitudinal studies in Kampala illustrate entrepreneurship as a survival strategy and livelihoods framework for low-income individuals (journals.aom.org).
  • UNDP’s 2025 case compendium shows socially inclusive youth entrepreneurs—from Filipino indigenous women to Samoan beekeepers—sustaining communities through income and heritage preservation (undp.org).

4. Micro-Entrepreneurs: Motivation & Mobilization

  • A Springer Nature 2025 study emphasized that micro-entrepreneurial motivation can amplify outcomes in resource-poor contexts, reinforcing income security .
  • Cartier’s December 2024 analysis reinforced micro-enterprise’s role in poverty alleviation—while cautioning that they’re not a one-size-fits-all solution .

5. Entrepreneurship & Climate Action

  • The Tony Elumelu Foundation’s Green Entrepreneurship Program, launched in 2024, has empowered youth-led startups in Africa to tackle climate change, creating over 400,000 jobs and generating $2.3B+ in revenue (time.com).
  • Student-led startups from Harvard, Aston, IESEG, IMD, ESSEC showcased groundbreaking ventures—like battery-sharing for farmers and AI-based water treatment—in early 2025 (ft.com).

Emerging Trends: AI & Entrepreneurship

  • Recent research (Jan–May 2025) explores AI’s growing role in leveling the playing field—augmented skills, market access, and risk management via solo entrepreneurship (arxiv.org).

Why It Matters: A Summary

BenefitLong-Term Impact
Job Creation & IncomeSMEs and micro-ventures drive inclusive economic development
Resilience BuildingBusiness skills equip individuals to adapt to shocks
Marginalized EmpowermentEnables control over personal and economic destiny
Environmental SolutionsSocial enterprises tackle climate challenges, creating value

Call-to-Action

For funders, policymakers, educators, and ecosystem builders: scale inclusive entrepreneurship training, AI-enabled innovation hubs, climate-oriented enterprise programs. Ensure equitable access to capital, digital tools, and business mentoring—especially for youth, women, migrants, and indigenous communities, to build tomorrow’s resilient livelihoods.


Recommended Reading List

Reports & Case Studies

(UNDP/Citi) 2025 Case Studies—real-world stories from marginalized youth (undp.org)

Academic Articles

  • “Reconceptualizing Necessity Entrepreneurship as Livelihood‑Making” (2025) – framework from Uganda (journals.aom.org)
  • Springer Nature (2025): the motivational edge of micro-entrepreneurs
  • GenAI in Entrepreneurship (May 2025 systematic review) (arxiv.org)

News & Analysis

  • “Why Youth Entrepreneurs Are Key To Tackling Climate Change in Africa” (Time, Oct 2024) (time.com)
  • Turning Dreams into Reality (FT, Jan 2025): emerging sustainable student start-ups (ft.com)