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The role of the National Youth Strategy in development of entrepreneurship competence
There is no specific governmental strategy regarding the development of entrepreneurship competence, but the topic itself is addressed in various strategical documents. The National Youth Strategy [Nemzeti Ifjúsági Stratégia (referred hereinafter to as NYS)] lists the following objectives under the subheading of 'Acquiring work experience, employment' in the chapter about self-sufficiency:
- 'To facilitate the operation and maintenance of enterprises started by young people.'
- 'To promote the acquisition of economic, financial and labour market knowledge and experience in public education.' (NYS p.43.)
The most recent action plan [1535/2016. (X. 13.) Korm. határozat] of the Youth Strategy aimed to foster youth entrepreneurship via direct subsidies and education.
Economic Development and Innovation Operational Programme 1
This strategy was followed by a set of actions under the European Union’s Youth Employment Initiative, which provided opportunities for youth between 18 and 25 years old to learn about entrepreneurship through training programmes and to access start-up grants.
'From 2015 the following measures help actually the entrepreneurial activity of young people within the priority of Economic Development and Innovation Operational Programme (EDIOP) 1: entrepreneur mentorship and propositions.
Entrepreneur mentorship for small and medium-sized enterprises, where 4 enterprising target groups were identified (such as women, enterprises in external market, enterprises becoming suppliers, and energy-intelligent enterprises) in which the presence of young entrepreneurs is significant.
Propositions aiming the expansion of production capacity, where one of the eligibility criteria is whether the given enterprise can be regarded as young (definition: an enterprise is young if at least 51% of the shares are possessed by persons under the age of 35, and the executive is also a young person under the age of 35).
Support of access into the market of small and medium-sized enterprises, where one of the eligibility criteria is also whether the beneficiary meets the requirement of entrepreneur status.'
Strategy on small and medium-sized enterprises
The strategy on small and medium-sized enterprises (referred hereinafter to as SMEs) adopted by the Government for the years 2014-2020 gives priority to the development of the entrepreneurs’ and prospective entrepreneurs’ financial consciousness, which contributes directly to their competitiveness. The pillar of the strategy that is most relevant for young people is the strengthening of the role of financial education in trainings, inside and outside of the education system.
European Money Week
'support consumers from an early age who have the financial knowledge and hold their fate in their hands, and help awareness-raising on financial consciousness. [The organisers and the audience] can meet through several channels with the series of events of the European Money Week, such as professional events; special events in schools, and playful competitions which are coordinated by the main organiser the Hungarian Banking Association (Magyar Bankszövetség) in cooperation with Money Compass Foundation (Pénziránytű Alapítvány).
The programme focuses on primary and secondary schools; approximately 90 thousand students from 650 schools were involved in 2015, while 788 schools supported deepening approximately 102 thousand students’ financial awareness with 1 435 teachers in 2016.'
In the 2019/2020 school year the number of students participating in the European Money Week increased: 217 thousand students from 1 203 schools registered and 1 725 teachers gave lessons to the students. 901 financial and entrepreneurial volunteers were helped in the lessons.
Framework Strategy for the Policy of Lifelong Learning for 2014-2020
The objective of entrepreneurship education appears in the Framework Strategy for the Policy of Lifelong Learning for 2014-2020. The strategy 'highlights the importance of entrepreneurship education as a key competence for all with competency-based learning outcomes.' (Eurydice, 2016 p. 43) The strategy connects this priority mostly with the Youth Guarantee Programme, and its action plan [1705/2016. (XII. 5.) Korm. határozat] puts this objective to the responsibility of the Ministry of Human Capacities (Emberi Erőforrások Minisztériuma) and the Ministry of Finance (Pénzügyminisztérium) [between 2010 and 2018 Ministry for National Economy (Nemzetgazdasági Minisztérium)].
'Entrepreneurship education is cross-curricular for ISCED 1-3 including school-based Initial Vocational Education and Training.
It is represented in a relatively complex way in the Hungarian National Core Curriculum and respective framework curricula. It is a key competence that should be addressed in all subject areas. The National Core Curriculum also defines 12 cross-curricular aims, amongst which, three are related to entrepreneurship education are taking responsibility for others; volunteering; career guidance; developing financial and monetary literacy.
Objectives and perspectives vary depending on age groups and subject areas; in STEM subjects, for instance, more emphasis is placed on creativity, planning, analysis, risk and trend assessment and managing project work. However, in geography or history, the focus is more on understanding financial and legal terms and contexts, the overall operation of the business world and ethics. Furthermore, there is a compulsory [community] practice as part of the curriculum.' (Eurydice, 2016 p. 169)
'Sense of initiative and entrepreneurship'
This, in detail, means that the chapter titled 'Sense of initiative and entrepreneurship' of the National Core Curriculum (Nemzeti Alaptanterv) contains the relevant parts:
'The sense of initiative and entrepreneurship helps individuals get to know their broader environment and, having acquired this knowledge, be able to grasp the opportunities that lie ahead. This competence comprises knowledge, creativity, propensity to induce changes and risk-taking as well as developing and implementing plans in order to achieve objectives. It serves as a basis for more specific knowledge, skills and behaviour which are needed for everyday life in the society and at the workplace.'
Required abilities, skills, knowledge and attitudes
'Necessary knowledge, on the one hand, involves recognizing and analyzing the opportunities and challenges for personal, professional and/or business activities and, on the other hand, a broader understanding of how the economy works and self-confident orientation in the world of money. Individuals must also be conversant with the financial and legal conditions of businesses.
Skills and abilities such as planning, organization, management, the task delegation, analysis, communication, judgement, the evaluation of experiences, risk assessment and risk-taking, individual and team work and ethical behaviour are part of this competence.
A positive attitude is characterised by independence, creativity and innovation, and motivation and determination to achieve goals in personal or social life or in the field of work.'
The Core Curriculum thus does not require a distinct subject for entrepreneurship education, the skills and competences are to be transferred through the obligatory courses. These courses appear in the following subject areas:
- Man and Society,
- Way of life and practical skills,
- The Earth,
- IT studies. (Pénzügyi ismeretek a köznevelésben NAT)
Man and Society (History; social, civil and economic studies – relevant topics appear in the 8th and 12th grade – e.g. financial and economic culture; employment): Topics directly related to entrepreneurship can be found in this subject area. In the topic of financial and economic culture (to be taught in the 5-8th grade) the relevant topics are the following ones:
- The entrepreneur,
- Responsible entrepreneurial behaviour,
- The environment of entrepreneurship.
Relevant topics for the 9-12th grade can be found under the subtitle of 'The world of enterprises'.
Way of life and practical skills (topics include employment and unemployment, employment relationship, jobseeking).
The Earth – our environment (topics related to sustainability).
IT studies (electronic services).
Besides the obligatory study materials there are two framework curricula related to entrepreneurship that contain optional courses the schools may offer:
- For grades 7-10 the 'Vállalkozzunk!' ('Let’s make an enterprise!'),
- for grades 11-12 the 'Etikus vállalkozói ismeretek' ('Ethical entrepreneurial knowledge') framework curriculum.
A number of public and private institutions offer programmes in the field of entrepreneurship. These are for the purposes of continuing one’s studies, and quite frequently focus on specific fields of enterprises.
More and more higher education institutions start courses on enterprises and start-ups, which helps to build up the system of mentorship as well.
In addition, several public higher educational institutions offer business courses, for example,
- the Corvinus Business School (Budapesti Corvinus Egyetem)
- the MBA education of Budapest University of Technology and Economics (Budapesti Műszaki és Gazdaságtudományi Egyetem)
- the Budapest Business School (Budapesti Gazdasági Egyetem).
The International Business School and The Department of Economics and Business of Central European University are private institutions where business courses are also available.
Recognition of non-formal and informal learning appears in connection with start-ups in the framework of Hungarian youth policy, where along with public education, the frameworks of non-formal and informal learning are also considered as areas to support, however, these appear in the fields of cultural and human rights in more detail.
The Framework Strategy for the Policy of Lifelong Learning for 2014-2020 (Az egész életen át tartó tanulás szakpolitikájának keretstratégiája a 2014/2020 közötti időszakra) underlines (in line with the law on higher education) the importance of recognising non- and informal learning outcomes. One of the strategy’s horizontal aims is to foster participation in LLL. Its specific aims include developing and promoting non-formal, informal and e-learning activities, as well as workplace learning and trainings. The strategy ties this aim mostly to cultural institutions, and among the specific aims of those the development of entrepreneurship competences appear. The action plan of the strategy delegates this aim to the Minister of Human Capacities and the Minister for National Economy.
'Entrepreneurship education is addressed as an overarching educational aim and development task in the National Core Curriculum, which recommends broad pedagogical approaches (such as individual development and active learning), but does not provide direct guidelines to any of the key competencies or development tasks. The integration of Entrepreneurship Education into initial teacher education is a matter of institutional autonomy.
Continuing Professional Development (CPD) courses related explicitly to entrepreneurial education are restricted to school-based Initial Vocational Education and Training (IVET) teachers, but all of them receive this type of CPD. 'The Hungarian National Institute of Vocational and Adult Education (NSZI) provides a CPD course on teaching entrepreneurship for all school-based IVET teachers.' (Eurydice, 2016 p. 169)
The current action plan [1535/2016. (X. 13.) Korm. határozat] of National Youth Strategy (NYS) foresees 'the development of a set of supporting instruments which helps students to acquire skills, abilities and key competences.' The available support found is the HRDOP 4.1.2 project (EFOP 4.1.2 projekt): Infrastructural development of public education institutions, development of regional school system. The total budget of the project is HUF 40 billion. The programme includes several actions, and as far as entrepreneurial skills go, they appear within those horizontal key competencies that need development.