Table of ContentsDifferences Between a Businessman and an EntrepreneurBackground of Entrepreneurship in Budapest and DubaiDubai in the United Arab EmiratesBudapest in HungaryEffects on International Laws about entrepreneurship in Dubai and BudapestEntrepreneurship in general termsEntrepreneurship culture in EuropeEntrepreneurship culture in the United Arab EmiratesEntrepreneurship in Budapest and DubaiThis article describes the key issues related to entrepreneurship and startups and the factors that contribute to their flourishing ; it focuses more on the growth and development of Dubai in the United Arab Emirates and Budapest in Hungary. It also analyzes the effects of lack of adequate incentives in the economic system with an increasing number of customers and a constant change in consumerism. With the increasing level of technology globally, the article analyzes the role played by local, national and international laws in facilitating entrepreneurs' access to their target market, regardless of geographical demarcations. While the number of entrepreneurs increases, the economic system still has gaps to be filled by new inventions and innovations. It is therefore necessary to reduce the costs of starting and running a business. The dilemma rests on the effectiveness of government policies and the energy of young people to invent products for their generation. Furthermore, the paper seeks to uncover the challenges faced by entrepreneurs and starters and solutions to mitigate these challenges are explored. Finally, a conclusive report is presented on the structure and composition of the human capital factor and its effectiveness in entrepreneurship. Say no to plagiarism. Get a tailor-made essay on “Why Violent Video Games Should Not Be Banned”? Get an original essayThe importance of international and national policies and their effects on the effectiveness of entrepreneurship is a broad topic and this article does not claim to cover all the issues involved. Conversely, it shares and analyzes key issues that have affected and are currently affecting the system and entrepreneurs using scholarly-led research, current facts and figures and primarily data analysis. Further research needs to be conducted to fully understand the role in effective performance of system resources and policy improvement. Entrepreneurship is a process of conceiving, planning and executing a business idea as a startup, with prospects of increasing income earned. net profit and company size through expansion (Wiles, 2012). A favorable environment for entrepreneurship is one that makes it easy to start a business and grow it with high chances of expansion and low chances of delay. Dubai is the most popular city in the United Arab Emirates due to its increased activity and being a major hub for transporting passengers and goods to other parts of the Middle East. Dubai's main sources of revenue are tourism, financial services, aviation and real estate (Leitch et al, 2009). Budapest is the capital of Hungary and the fastest growing urban economy in Europe. Budapest accounts for 39% of Hungary's entire national income and is experiencing constant growth in terms of business activities. Since 2014, Budapest has seen a 2.4% increase in its per capita income and a 4.9% increase in its employment level (Murnan, 2016). Research question: Why are Budapest - Hungary and Dubai - UAE on the list of most entrepreneurial countries?Differences between a businessman and an entrepreneurEntrepreneurs are innovative and inventive and come up with viable and practical business ideas that have never been seen or heard before. On the other hand, a businessman is not original. He can invest in an idea that already exists and profit from it. This is the reason why entrepreneurs are startups while businessmen are investors (Murnan, 2016). Entrepreneurs seek to bring a change in an industry using their idea, changing the world as we know it and making it easier for crazy people to feel inferior. On the other hand, the only reason a businessman invests is to be able to make a profit and when the business does not turn out to be profitable, he quickly leaves. A businessman will always choose to compete with all other businesses offering similar products. In this case, his competitors are people in the same industry as him. An entrepreneur will compete to surpass himself. Always have an original idea that is better than the previous one. A businessman is a manager while an entrepreneur is a leader who is passionate about what he does and who knows his job by heart. Most business people delegate most tasks and simply ensure that deadlines are met. However, an entrepreneur will be a part of every aspect of the business and help bring the idea to life. A good illustration of an entrepreneur is Steve Jobs who would participate in every step to make new profits and through his innovation he brought the biggest change in the mobile industry by inventing the iPhone which was later copied by Samsung and other companies in the smartphone industry. industry (Wiles, 2012). Businessmen make a living from their business because it covers all aspects of their other part of life. In this case, the business is the source of income. Entrepreneurs bring their business to life by providing it with the essential elements it needs; for example, the right ideas, the right staff and the right machines to materialize the idea. Background on Entrepreneurship in Budapest and Dubai Dubai in the United Arab Emirates According to the GEM Global Report 2009, Dubai has the highest increase in entrepreneurial startups in the world with a notable increase of 38% in 2008-2009. This has been accelerated by a few policies put in place, the UAE, through an improved online platform, has reduced the time taken to issue building permits. The application process was made easier and more convenient for entrepreneurs, particularly those involved in real estate, which saw the start of increased activity as the building attracted international and local investors. Additionally, it contributed to the development of the country's infrastructure in terms of access roads, public lighting, improved security and improved sewerage system. The government has also removed capital requirements for starting a business in Dubai. The capital requirement held by Dubai banks as a percentage of risk-weighted assets had previously been set high, especially for foreign investors, and could easily deter them from Dubai (Bergmann, 2016). The effect was a reduction in the number of days needed to implement investment and business procedures. This also led to the removal of auditors and the lengthy process of obtaining the auditor's certificate, submitting a director's certificate and the standard requirement to submit proof of capital registration. The cost of building permits wasreduced by half. Builders and construction companies could easily get started as the procedures were reduced to just four short processes and the online application would take a maximum of 33 days to be processed and either refused or accepted as per the set terms and conditions. This is the one that gave Dubai a better ranking, as it moved from 54th to 27th in the world as the best place to invest. Cross-border trade has also been made easier as the number of documents required has been reduced and the export time has also decreased. . For a country that sits in the middle of the desert, a reduction in imports has boosted the agricultural sector. With the implementation of this specific policy, there was an increase in the number of containers imported and exported and this ranked the UAE from 13th in the world to number 1 in the world.5.In August 2009, the President of the Emirates United Arab Emirates amended Federal Law No. 8, focusing on corporate law. The law removed the minimum capital required to establish a limited liability company, which was previously set at $40,765. This would ultimately represent the cost of doing business in Dubai (Mansoor, 2016). Additionally, in 2008, Federal Law Number 2 was amended regarding national corporations and associations that deal with public welfare, most NGOs, so that they can easily work and conduct business with funding from local investors and international donors. Budapest in Hungary In Budapest, Hungary is also very profitable for entrepreneurs, especially because capitalism is still a new and foreign aspect. Hungary practiced communism where all businesses were controlled by the central government through various channels. However, Budapest, Hungary's post-communist capital, has become a hub for incubating innovative ideas as a way to enable the economy to grow. This in turn attracted investors, especially with the implementation of regulations by the Central and Eastern European regional trade group. Unlike Dubai, Budapest is a hub for engineering and technology companies. A good example is CrypTalk, a call encryption company developed by Swedish company Arenim Technologies. Basically, the company deals with securing intra- and inter-company communications by encrypting information and ensuring that it cannot be hacked or leak sensitive information. Using the same technology that was launched in Budapest, the current Watsapp uses it to encrypt information end-to-end, ensuring that messages sent using the app can only be viewed by the sender and the recipient and are secure. Budapest is also home to the headquarters of Prezi, the storytelling company. The company is highly renowned for its presentation quality and smooth flow, for both formal and informal purposes. Additionally, the company also has a website, for a fee; one can post ads using the app. With over 75 million users worldwide, the app is Java-enabled and allows for a smooth transition using written text and images as well. Budapest is coming slowly for several reasons. Most countries that practiced communism did not properly adapt to capitalism like Budapest. This makes it a viable investment location for many investors in the Central and Eastern European region. This has helped the country rise to 54th place in the world as a hub for investment and business start-ups. Additionally, policies have been put in place to ensure that startups andinvestments become easier for entrepreneurs. In 2009, business registration reforms reduced the minimum capital requirement by almost 80% (Ramadani & Rashii, 2016). There was also the launch of an online registration and application platform which enabled investors to save time and money by accessing basic services and information from the comfort of their office. In 2010, the Hungarian government further reduced the time needed to register start-up companies with confirmation made within an hour. With the increase in the number of companies coming to invest in Budapest, the government has increased registration fees for limited liability companies as well as taxes collected in an attempt to increase government revenue. The government then set about improving Budapest's infrastructure to facilitate transportation and communications for investors who had flocked to the capital. In addition, the Ministry of Employment has invested 235 million euros to increase employment of the country's young citizens. There was the creation of 1,500 new businesses and opened the door to more potential for these same businesses. For example, there has been an increase in the need for stationery to help with the daily operation of businesses. The country's 2020 vision, intended to ensure that the country becomes the leader in startups in the region, has also attracted many investors as there are many opportunities to save money and start a business in Budapest, unlike any other country in the region. (Kuratco, 2009).Effects on International Entrepreneurship Laws in Dubai and BudapestThere are several international business laws that guide trade between the two cities and other countries. The UAE does not have a free trade agreement with countries outside the Middle East. Businessmen in Dubai benefit from import and export subsidies only from their neighboring countries, but not from the whole world. Talks are currently underway with countries such as Turkey, China and Japan with the aim of allowing the extension of the free trade zone to these countries (Bergmann, 2016). The free trade zone is characterized by the eradication of traditional laws and regulations governing licensing and agent requirements and creates a conducive business environment that does not hinder business growth and development (Andersson et al 2009). Basically, UAE and Middle East countries have a free trade zone. The UAE and most Asian countries have bilateral trade agreements with the rest of the world; The UAE has multilateral agreements that are not business-friendly. Budapest, Hungary has different international trade policies that affect how it trades with the rest of the world. With Central and Eastern European countries, the country has bilateral trade agreements, while with other countries it has multinational trade agreements. Trade in Europe is governed by the European Union which strongly advocates a reduction in customs duties applied to products that must cross borders, the minimum being set at 5% and the maximum capped at 15% (Ramadani & Rashii, 2016) . is nothing new when we want to talk and write about entrepreneurship and its culture. The definition of culture itself means a group of people sharing the same actions, thinking the same things, and that is what makes a culture. And entrepreneurship is a culture in itself. Entrepreneurs tend to have a precise vision of the business differently fromothers, they bring innovation, invention, passion, creative thinking and a new era to the cities in which they operate. Although we see or think that most of them are born Thanks to the ability to translate this type of innovations into reality, researchers have also discovered other factors that could motivate a person to become an entrepreneur. It is said that individual factors alone cannot clearly explain why people choose to be self-reliant. employees and bringing these new ideas to life. Different factors such as their professional background, education, personality, society and religion they belong to and other factors can lead to an individual's idea of ​​starting a new business, having new ideas of brainstorming, wanting to be self-employed more than working for other people. Their immediate need is also another factor that promotes innovation, as most of them seek to solve a problem that is prevalent in a society. According to Heiko Bergmann (The Culture of Entrepreneurship by Heiko Bergmann, NA), the innovative idea that the individual wants to bring to life is linked to different areas which, when brought together, give meaning to why this people belong to this culture and why entrepreneurship itself is called a culture. An individual willing to take the risk of creating their own start-up in a specific region could consider various points regarding the region. Some of the points include the structure of the business they are willing to take on, the nature of it, the size, the condition of the foundation framework, the purchasing power, the culture of the place and the framework legal surrounding the starting of such a business. the information of the individual herself would affect the company as well, that the activity which envisages to be born is the one which corresponds to his personality, his professional career and his training and all this depends on the capacity to have the right for carry out the business successfully. start of the new idea in the region. Additionally, practical experience is an added advantage as it helps during the idea implementation phase as the individual is well aware of what actually works and what doesn't. Entrepreneurship in general terms Entrepreneurship, as one of the most discussed topics today, forms the backbone of the European economy. Small and medium-sized enterprises cover around 99% of businesses in Europe (Entrepreneurship and Small Business, 2016), creating a large number of jobs and as such, being a key to innovation, job creation and economic expansion. In different countries in Europe, there are hundreds and thousands of different companies created either by local entrepreneurs or by foreign entrepreneurs. Entering the market with an innovative idea shows a personality characteristic of the person taking the risk, because the basic idea of ​​entrepreneurship leads to the individual's ability to produce innovative solutions for new situations, as indicated by Littunen (2000). In this case, a business will exist because of the entrepreneur, but if he or she is removed from the equation, the whole idea falls apart. Entrepreneurs are recognized as people bringing social creativity, artistic capital but also financial wealth (Thompson, 1999). Being an entrepreneur according to Schumpeter (1949) means that you must be called an innovator and you must take on one of the following 5 tasks: (1) Create a new good/quality, (2) bring a new method of production, (3) ) establish a new market, (4) capture a new supply, or (5) create a new organization. Like the word Entrepreneurcomes from the French word “entreprises” which means “to undertake”, it takes its meaning in the business world as undertaking a commercial enterprise (Mainzer and Chua, 2013). Inside the idea of ​​being an entrepreneur lies the concept of being a local entrepreneur. Being a local entrepreneur means undertaking this business venture by performing one of the above-mentioned tasks created by Schumpeter (1949), in your own home country. Being successful at being an entrepreneur means that you have successfully generated individual and community wealth by developing a business asset and being in an ongoing process of doing it again in different circumstances (Norman Walzer, 2007). Referring to someone as a foreign entrepreneur already by the word In itself means that the person called an entrepreneur has established a business in another country different from his or her home country. In the beginning, a licensing agreement was the most common method of becoming a foreign/international entrepreneur, in order to engage in international business (Hisrich, 2015). This is followed by registering a business which in most countries is the most difficult part for foreigners. Entrepreneurial culture in Europe Entrepreneurship is a culture that every country is trying to adopt, but which has not yet reached its peak. Many articles from different studies and statistics carried out by different researchers, whether European or American, come to the same conclusion that European culture lacks entrepreneurial culture in its systems and veins. For Europe, it is very important to courage and lead young entrepreneurs to start their business in Europe, bringing innovations that will last a lifetime by becoming big companies. Europe is a continent known for its quality production in different industries, including the food industry, the technology industry, the pharmaceutical industry and the automobile sector. As an article in The Economist reads, the reasons for the lack of entrepreneurs who realize their ideas on real projects in Europe is because they lack a risk-taking personality in their culture. By meeting this obstacle, they will never achieve the same result as the Americans and even less so China and Brazil, who seem to embrace entrepreneurial culture better than the Americans themselves. It has been studied that more than 500 French founders have their businesses in San Francisco. Bay (The economist, 2012), which leads to the understanding that the culture they face in the United States of America, the support and the courage they receive gives life to the innovative ideas they have. That said, Europeans have a lot of companies with innovative and creative ideas, but they still lag behind in numbers, causing their culture to be seen as not being the most supportive of getting things done. Since the very beginning, when the “European Union” was unified, Europe has been the place of choice for all those looking for favorable conditions for setting up businesses (Corine Moriou, 1999). This is mainly because the laws and regulations used by member states promote positive business activities and an environment conducive to the growth and development of ideas. For business developers to set up their business in another country in Europe, they must make their organization or business compliant with applicable local legal, tax, labor and financial regulations (Moriou, 1999). Different from the American venture capital market, if an entrepreneur wants to start a business in Europe, it can take several months, up to a year to get established and have everything comply with the laws andregulations of the European country to which it belongs, while in the United States of America the creation of a company can take more or less 1 to 2 working days, according to Vermeulen (2003). The central idea of ​​the restrictions that Europe imposes on entrepreneurs when they wish to start their businesses is that they aim to limit the flow of potential entrepreneurs with limited resources (Vermeulen, 2003). During the crisis in Europe, entrepreneurship was seen from different angles regarding their position to help Europe get through it (Andreea-Oana, Oana Ramona, NA). The mindset was that some authors saw the slowdown in the economy as an opportunity for entrepreneurs to help break the economy and take even deeper roots in European countries, while the other side saw it an obstacle for entrepreneurs. who wanted to create their startup in Europe. (Barlet, 2008) After further research, the European Commission stated that entrepreneurs would be the ones to help their economies achieve higher levels of employment and economic growth (European Commission, 2013). As evident from the above statement Entrepreneurship as a culture has been more than welcomed and endorsed by the majority of countries and their people, which has helped entrepreneurs have the confidence and support to continue to expand their circle of new ideas and innovation.Entrepreneurship Culture in UAEArabic Arab Emirates government has the most favorable call for entrepreneurial culture in many years. They recognized that the backbone of any developed and innovative economy would be small and medium-sized businesses, typically new creative start-ups. While being aware of the benefits, the government has created a decent legislative environment, while promoting the entrepreneurial spirit everywhere. (Constance et al, 2011) The most interesting part of starting a business in the UAE is to consider establishing your business in the free trade zones. This is mainly done with neighboring countries in the Middle East. This sector is generally considered attractive by foreign investors and entrepreneurs. Some of the benefits they enjoy are mentioned below: 100% ownership is theirs, they have no obligation to the government, revenue and profits go directly to them, they have reduced and different trade barriers, tariffs and quotas and no personal income tax. Even though they have several industries that people can come and invest in or create something in those areas. Industries vary from manufacturing to logistics and commerce, in a number of sectors that offer unique opportunities for market efficiencies. (UAEInteract, 2016) One of the key cases that the UAE is promoting and striving to improve is motivating young people to join the entrepreneurial culture and mindset. Several laws have been put in place to ensure that young people can participate in the economy and have also contributed to this cause. The UEA government is working on different projects to achieve this goal, and one of its initiatives is to involve universities where people can participate in different events, to acquire the right knowledge and, at the same time, increase support families. They reported on family support as their weak points, key gaps for improvement. Since 2011, this project has been running and has increased the engagement of families and changed their mindset. (Youth and entrepreneurship in the UEA, 2011)Entrepreneurship in Budapest and Dubai Entrepreneurship is a widely discussed topic through different perspectives from different writers. In the existing literature, it is noted that different entrepreneurs operating in Europe have had distinct experiences depending on the laws and regulations, whether foreign or local (Smallbone et al, 2012). Correlating the existing literature with the aim of this research study is already to have basic information on how the startup creation process works in Europe and to take a closer look at what are the factors that made the cities of Budapest and Dubai to choose from to create an entrepreneurial business idea. In different countries in Europe, there are hundreds and thousands of different companies created either by local entrepreneurs or by foreign entrepreneurs. Budapest, the capital of Hungary, is considered in different articles as one of the leading entrepreneurial cities where entrepreneurs are ready to start their businesses. Accordingly, this research study aims to find out what makes Budapest one of those cities in Europe (Coleman, 2015) and later continue on what makes Dubai one of the most favorable cities or emirates to start an entrepreneurial idea (Bootstrapping Startups In Dubai, 2014). ). Taking into consideration what could be the main advantages, supports and factors that affect this differentiation could be an enlightening reason for future entrepreneurs to have a clearer idea of ​​why it is better for them to set up their business in Budapest or in Dubai. According to different articles and researches, one of them being Forbes, Budapest is in the first list of 5 entrepreneurial cities in Europe, the most preferable for starting a new innovative business. One of their specialties is engineering expertise in telecommunications security and other success stories such as Prezi, LogmeIn and Ustream. Budapest is the most convenient location for entrepreneurs who want to explore their opportunities or bring their ideas to life. One of the most well-known entrepreneurs in Budapest and throughout Hungary is Peter Zaboji and his European Entrepreneurship Foundation (EEF), which has been running for 8 years now. Different investor programs and events have echoed the Hungarian entrepreneurial culture (Alison, 2015). Through his innovative work and his passion to involve more and more young people, Zaboji has captivated the minds of entrepreneurs and challenges them to put their ideas forward. Besides the entrepreneurial culture said to find in Budapest, another reason for foreigners to descend on the Hungarian capital to bring their creativity to life is the simple fact of having lower costs than the western part of Europe according to the article “Get involved in the Budapest startup scene” (Davison, 2015). The article gives general information on how to easily get information and help if you want to start a business in Budapest, and besides bureaucratic dealings with the government, all other procedures, like being an expat, having a co-office, attending events, getting a mentor to help you with guidelines, are described and linked as a very simple procedure. By saying this, we partly explain why entrepreneurs choose Budapest. But from another point of view, the same article mentions that the profit is modest compared to the western part of Europe (Shuttleworth, 2009). Is the ease of market entry worth it? Is this THE reason why? It's doubtful. A different perspective is seen in the UAE, so