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START-UP NATION: THE STORY OF ISRAEL'S ECONOMIC MIRACLE And what for you?
Shai Agassi. Better Place. 2007 meeting. Davos 2005: make this world a better
place before 2030. Hybrid was dead A new transportation business model:
users own car, provider owns batteries. An experiment nation: Israel A safe tech: from bomber fighters to
batteries replacement.
A FAIRY TALE?
Warren Buffett bought ISCAR Metalworking, an Israel company, for 4,5 billions USD right before Lebanon-Israel war in 2006
Steve Ballmer said ‘Microsoft is an Israel company’
Eric Schmidht – American is the best place for companies. Israel is the second one.
WHAT A HOLY LAND!
GEOGRAPHIC
Border shared with: Lebanon, Syria, Jordan, Egypt, Saudi Arabia
Palestine: West Bank and Gaza Strip
http://www.hayovel.com/learn/maps-of-israel
Area - Total 20,770 / 22,072 (153rd) km2
8,019 / 8,522 sq mi
- Water (%) 2.12 (440 km2 / 170 mi2)
GENERAL INFORMATION(SEE MORE? HTTP://EN.WIKIPEDIA.ORG/WIKI/DEMOGRAPHICS_OF_ISRAEL)
Capitaland largest city
Jerusalem (disputed)31°47′N 35°13′E
Official languages •Hebrew•Arabic
Ethnic groups(2013) •75.3% Jewish•20.7% Arab
Government Unitary parliamentary republic
- President Shimon Peres - Prime Minister Benjamin NetanyahuLegislature KnessetIndependence from Mandatory Palestine - Declared 14 May 1948 - Recognition 1 May 1949
A QUIZ
How many people are there in Israel?
How many Israel people are there outside the country?
LIFE IN ISRAEL
Population - 2014 estimate 8,146,300[1] (96th) - 2008 census 7,412,200[2] (99th) - Density 387.63/km2 (34th)
1,004.00/sq miGDP (PPP) 2014 estimate - Total $286.840 billion[3]
- Per capita $35,658[3]
GDP (nominal) 2014 estimate - Total $305. 707 billion [3]
- Per capita $38,004[3]
Gini (2008) 39.2[4]
medium · 66thHDI (2013) 0.900[5]
very high · 16th
CurrencyIsraeli new shekel (₪) (ILS)1$ ~3,5 shekel
ONCE UPON A TIME, IN ISRAEL
1940s. Build universities first , then build a country.
1940s and 1950s. Israel’s first (Weizmann) and fourth (Katzir) presidents were scientists.
1960s. the sudden 1967 French weapons embargo: founding of Intelligence Signal Corp (Unit 8200). In 1968 the establishment of the Office of the Chief Scientist (OCS) to help fix market failures in commercializing R&D.
1970s. 1972 - Israel’s first NASDAQ IPO (1972; by medical imaging pioneer, Elscint), 1974 - Intel’s first international R&D center. In 1977 BIRD foundation was created to fund technology-based product development between Israeli and US companies.
1980s. By the early 1980s there were numerous top-tier VC investments, and by 1984 the NASDAQ value of the first wave of a dozen Israeli tech ventures was $780 million.
In 1984 Law for the Encouragement of R&D passed.
In 1987 the cancellation of the Lavi fighter-plane megaproject flooded the market with thousands of engineers who swelled the ranks of startups.
FOCUS ON HUMAN
Kibbutz
Long-term Military service
Greenhorn policy
Yozma program
WHY STARTUP NATION?
Make a safe place for Israelis to develop.
Build a country from nowhere
“The greatest contribution of Israelis in history is their unsatisfaction. It’s bad for politics, good for science.”– Shimon Peres
The ability to turn adversity into recyclable creativity energy
FUTURE ISRAEL
From startup to scale-up
‘Hi-tech farmer’
Potential possibilities for cooperating with the rising Asian economy.
BETTERPLACE REVISITED
Five years of bombastic hype. $850 million of funding burned. Networks planned in at least seven countries. Bankrupt in 2013
“In Israel, it’s one obstacle after another,” Harel said. “This is an extremely challenging market to deal with. The Transport Ministry has put a lot of barriers to entry.”
Better Place “tried to conquer the whole world,” Abramowitz said. “We’re not doing it that way. We’ll serve the Israeli market and grow it organically.”
George Bernard Shaw1856-1950
WHAT FOR YOU?
Made in Israel – Technology https://www.youtube.com/watch?v=wsXCl5tJwnM
Be independent
Chutzpah spirit: behaviour, or a person’s attitude, that is rude or shocking but so confident
that people may feel forced to admire it
Be a bitzu’ist "getting things done."
Rosh gadol can-do and responsible attitude with scant respect for the limitations of
formal authority
REFERENCES
http://www.amazon.com/Start-up-Nation-Israels-Economic-Miracle/dp/0446541478
http://blog.up.co/2013/09/12/13-characteristics-of-a-great-start-up-culture/
http://www.slideshare.net/DanIsenberg/start-up-notions-the-real-roots-of-israels-entrepreneurship-miracle-feb-2-2011-economist
http://en.wikipedia.org/wiki/Startup_company
http://www.investinisrael.gov.il/NR/exeres/94C96807-3F40-4981-AA0D-F9CEFF74F4D2.htm
http://worldpopulationreview.com/countries/israel-population/
http://en.wikipedia.org/wiki/Demographics_of_Israel
http://www.dunghangviet.vn/hv/khoi-nghiep/2013/07/39quoc-gia-khoi-nghiep39-giai-ma-hien-tuong-israel.html