Dialogue on Deck: "Cities Need Founders" – ZEW Hosts Discussion on Board the MS Wissenschaft

Why is start-up activity in Germany decreasing, and what are the characteristics of an attractive business location? These were the main topics discussed at the "Dialogue on Deck: Cities Need Founders" event staged by the Centre for European Economic Research (ZEW) on July 23. The event took place on board the exhibition ship MS Wissenschaft (MS Science), which anchored in Mannheim from July 23-26, 2015. Dr. Peter Kurz, First Major of the City of Mannheim, Dr. Georg Licht, head of the ZEW Research Department "Industrial Economics and International Management", and Jacqueline Yildirim, founder of JACQ GmbH, discussed the overall start-up situation in Germany and, in particular, in Mannheim, as well as the factors that are decisive for the attractiveness of business locations for founders.

In his welcome address, ZEW's executive director Thomas Kohl stressed that start-ups are an essential driver of competitiveness: "Innovative, high-performance companies are of major importance for Germany as a business location and for our future society." To make sure that German companies continue to be successful, he noted, Germany has to stop the downward trend in start-up activity. The number of newly-founded firms has been dwindling for years. In his presentation, Dr. Georg Licht addressed demographic change as a major cause of sinking start-up numbers. "People between 30 and 39 years of age are the most frequent founders of start-ups, but this age group is shrinking in Germany," Licht explained.

In the following panel discussion, chaired by Thomas Kohl, Licht made a case for creating framework conditions that also encourage other age groups to start businesses. Furthermore, he pointed out that women are still heavily under-represented among founders. It is essential to tap into their potential, he said. Dr. Peter Kurz referred to the large number of support programmes for founders in Mannheim such as start-up centres, municipal subsidies and consulting services. Mannheim's mayor considers the city to be very well positioned in this context, compared to other German regions. With regard to high-tech start-ups, however, he admitted that Germany has some catching-up to do, particularly when it comes to financing. Jacqueline Yildirim, a start-up founder, explained that access to capital is the greatest challenge for business starters. She also attached great importance to professional consulting and well-developed networks. According to her, that is where the public sector had offered her helpful support.

Following the panel discussion, the audience had the opportunity to visit the exhibition "Zukunftsstadt" (City of the Future) in the former cargo hold of the MS Wissenschaft. It shows the various challenges facing cities. These include successful societal and economic development, the provision of sufficient affordable housing, an efficient infrastructure and energy supply, but also ecological aspects. About 30 exhibition pieces on board the MS Wissenschaft have been dedicated to these topics, including ZEW's interactive contribution "Cities Need Founders". The MS Wissenschaft lies at anchor off Pier 2 on the Rhine Promenade at the Lindenhof in Mannheim until July 26. The exhibition can be visited every day from 10 am to 7 pm free of charge. The former cargo ship, which is travelling on behalf of the Federal Ministry of Education and Research (BMBF), calls at about 40 cities in Germany and Austria.

For more information please contact

Thomas Kohl, Phone +49 621 1235 111, E-mail kohl@zew.de