Investigating the Mutual Effects of Competitiveness and Entrepreneurship, and their Impact on Economic Growth

Entrepreneurship is one of the main factors of competition and innovation among firms, as well as on the national and international scene of economics. In order to create an enabling environment for entrepreneurship, it has to be able to interact between the elements of competitiveness and entrepreneurship, and to use symmetric and proportionate entrepreneurial conditions to improve production and employment, and thus increase economic growth. Therefore, the main objective of the present study is to examine the interaction effects of competitiveness and entrepreneurship, which ultimately lead to economic growth. In this paper, through collecting library resources and with a descriptive approach, the interrelations between different components of competitiveness and entrepreneurship, as well as their effects on economic growth, are discussed. According to the results of this research, competitiveness can be an important factor in the development of entrepreneurship activities within the country and is one of the factors of economic growth. From the social aspect, this study can also help governments to familiar with aspects of politics that favor entrepreneurial opportunities, and which factors encourage entrepreneurs to grow in a single economy. This study is also important for entrepreneurs, since it shows what aspects of the economy are important and should focus on which of the deficiencies in the economic dimension and the pillars of competitiveness.