The US is one of the most developed nations which always made receptive policies for immigrants who want to start a venture. However, with the new administration system, very harsh policies are being drafted for the immigrants which even hamper their entrepreneurial skills and the country’s supremacy in entrepreneurship as well. Let’s dig deep why The United States- Not a start-up destination anymore.
Numbers to tell the reality of why The United States- Not a start-up destination anymore-
With the advent of new policies, the ranking of US as a destination for Start-ups is decreasing worldwide. Hence, as a result, There is a significant reduction in the dominance of US in Venture activities started in 1990 with more than 95% which is left only half today.
Innovation is being compromised because of the technology-
According to Hathaway the process of innovation is being compromised due to the third revolution, i.e, inculcation of scientific means. The use of Technology over manual and traditional methods has also resulted in the reduction in cost.
Following the change caused by the aforementioned reason, the countries are now focusing more on their R&D developments by imbibing new values and curriculum in their university system. Next, with a huge emergence in consumers in the market, the income inequality gap is decreasing and the scope for innovation by viable means is increased.
With above-mentioned reasons, countries like Shanghai and Beijing also come in the race of top start-up countries with New York, Boston, and many others.
The United States as always working opposite from what other countries are working on-
In a time, where countries like India are drafting policies in favor of foreign investor to attract huge investments for the growth of their country, United States has decided to stand apart and made their existing policies more rigid to create hurdles in the way of immigrants.
Trump’s policies are at loggerheads with Obama policies-
On contrary to Trump’s policies, Obama with its Immigrant Entrepreneur policy which is for the founders of the startups and which give them the rights to stay for 5 years in the US. Obama’s policies aimed at boosting the economy by encouraging the start-up culture while Trump’s administration intends to do something opposite.
Trump has clear intentions of not allowing immigrants to stay in the US-
If compared to the other nations, the US is the one with no provision of visas for immigrants who want to start their own venture in the US. For example, an initiative like The Startup Act is under the attack of political parties, as a result, it is pending for last six months.
This clearly indicates that Trump Administration is not readily welcoming the immigrants and the aftereffect ranges from the workers with skills to the international students.
Immigrants contributing to the economy getting nothing in return-
According to scientific studies, the immigrants are more pumped with the feeling of starting up a venture than an American, most of the billion-dollar ventures in the US belong to Immigrants only which in return create employment and development opportunities for the native Americans whereas in reality they are tagged as the ones who steal jobs.
Hathway stressed the importance of the capital and talent in the whole of innovating a startup and development of the country. Even after considering the following factors, US still doesn’t wish to recruit the talent and hence is willing to give up on the talent factory.
Creating bridges between the natives and the immigrants with the policies will only result in a decline in the long-run hence the need of the hour is to extend a welcome hand for the talent which will lead to innovation. The need of an hour for the US is to make policies more friendly so that it will attract more talent.