A Research Companion
Edited by Mustafa F. Özbilgin and Ayala Malach-Pines
Chapter 11: Determinants of Career Choice of Israeli High-technology Entrepreneurs
11. Determinants of career choice of Israeli high-technology entrepreneurs Dov Dvir and Ayala Malach-Pines Israel has an unusually high number of high-technology entrepreneurs and companies, and is among the world leaders in high-tech start-ups. About 4000 high-tech companies make Israel the largest concentration of hightech companies in the world outside of California – of which 1500 are startups. On the cutting edge of technological development in software, telecommunications, biotechnology and information technology, Israeli high-tech and start-up companies are known for their creativity, innovation and ingenuity. The vast majority of marketing and sales activities of Israeli high-tech companies take place outside of Israel. According to the National Science Foundation, there is no single preferred method for identifying high-technology industries. Such industries depend on science and technology innovation that leads to new or improved products and services. They generally have a substantial economic impact, fueled both by large research and development (R&D) spending, and a higher than industry average sales growth. If an industry’s proportion of R&D employment is equal to at least the average proportion of R&D employment in all industries, it can be considered high-tech. The professional occupations most indicative of high R&D activity, thus of high-tech, are engineers, physical and life scientists; computer scientists; and health professional specialties. Engineering and science technicians are also employed in signiﬁcant proportions in hightech companies. For many years, following the establishment of the State, Israel’s most important industries were agriculture, light industry and labor-intensive production. A small country with...
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