According to Forbes, Gen Z is already shaping up to be the most entrepreneurial generation. Over 80% of young adults plan to run their own business one day. But why is Gen Z more likely to become entrepreneurs? Below we’ll explore 6 reasons why they’re poised to be CEOs.
1. They’re Independent
Experts say that Gen Zers are independent, self-directed workers. They also have a competitive streak due to growing up in a competitive academic environment. Since they had to fight others to get into top colleges, they developed a fighting, enterprising spirit.
Although Gen Z can collaborate with others effectively, they prefer to work solo so they can make strategic decisions that align with their values. They also enjoy getting all the credit and recognition when their ideas succeed, which is one fo the reasons why Gen Z is more likely to become entrepreneurs.
2. Gen Z Is Tech-Savvy
Another reason why Gen Z is more likely to become entrepreneurs is their tech-savviness. Young adults have an advantage in today’s increasingly digital business landscape because they’re online natives. Since they grew up using social media, they intuitively understand online marketing. They also have the tech skills necessary to run a successful company. They’ll have no trouble performing essential business tasks like building their own website or mastering accounting software thanks to their computer literacy.
3. They’re Worried About Layoffs
Gen Z is more likely to become entrepreneurs due to their fear of layoffs. According to Justworks, employees under the age of 35 are most concerned about job cuts and corporate downsizing. It’s understandable why Gen Z would be afraid of losing their employment.
Many of them became adults during the pandemic when thousands of workers were made redundant practically overnight. This experience taught them the importance of having multiple streams of revenue, making them more likely to start their own business on the side.
4. Gen Z Loves Side Hustles
Gen Z loves side gigs so much they’ve been dubbed the “hustle generation” by Business Insider. Nearly half of Gen Zers are juggling multiple side hustles. Although they enjoy the extra income from these entrepreneurial pursuits, they also view side hustles as a way to pursue their passions. Their side businesses, which are often based around their hobbies, provide them with meaning and purpose they aren’t getting from their full-time jobs.
5. They Grew Up Watching Entrepreneurial Creators
Another reason Gen Z is more likely to become entrepreneurs? They grew up watching content creators build successful businesses on YouTube and Instagram, inspiring them to do the same. More than half of Gen Zers say that they’d love to become a full-time influencer if given the chance. They believe that influencing is a viable, reputable career path, demonstrating their openness to entrepreneurship and alternative income sources.
6. Many of Their Parents Were Entrepreneurial
Gen Z may have inherited their business-oriented mindset from their parents. According to Statista, a whopping 33% of Gen Xers reported having a very entrepreneurial spirit. Only 25% of Baby Boomers, the parents of Millennials, said the same about themselves. This may help explain why Gen Z is becoming the most entrepreneurial generation.
We Should All Follow Gen Z’s Example
Gen Zers are doggedly chasing their dreams of becoming entrepreneurs. They’re spinning lots of plates and juggling several side hustles to accomplish their goals. Hopefully their example inspires you to work hard and pursue your aspirations. Whether you want to be a musician, entrepreneur, or something else entirely, we wish you luck on your journey to success!