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EXECUTIVE SUMMARY
Global rankings of the top innovation ecosystems in the world consistently find Israel to be
one of the world’s top locations for entrepreneurs and venture capitalists, together with
the Silicon Valley in California and the economic capitals of Europe. Indeed, Israel’s self-
proclaimed “Startup Nation” title often comes as a surprise due to the country’s small size,
relatively young economy and culturally diverse population. Yet anyone who knows a thing
or two about Israel knows that the country itself is a kind of “startup” endeavor that takes
risks, constantly seeks improvement and knows that innovation and creativity will pave the
way forward.
Israel’s innovative journey was shaped by the first collective communities, or the ‘Kibbutzim’,
with immigrants from over 130 nations experimenting with new agricultural methods and
social structures. Developing a knack for innovating and risk-taking, Israelis soon ventured
into other sectors, contributing their knowledge and skills to create Israel’s first industries.
Because they were immigrants, they had the courage to experiment, learning the value of
“chutzpah,” which has encouraged the country’s generations of entrepreneurs to pursue new
endeavors. Team-work, problem-solving and technical skills learned during military service
have also contributed to the success of Israeli entrepreneurs on a global scale.
Israel’s top educational institutions have cultivated a knowledgeable nation of
scientists,engineers, doctors and professors that strives to lead research trends in their fields.
As a result, Israel has a notably high concentration of Nobel Prize laureates in comparison
to its relatively small population.
Israel is a highly attractive location for venture capital investment as a result of government
institutions that encourage and support innovation, like the Office of the Chief Scientist.
Israel has also made efforts to attract international technological companies to the wealth