St Patrick's week triggers an annual migration of Irish politicians around the globe, donning the shamrock, pressing the flesh and talking up Ireland. The business community sees the clear benefits of the opportunity to promote all aspects of Ireland's enterprise offering.
Shaun Murphy certainly recognises it. KPMG's managing partner leads the Irish business of a firm with operations in almost every country in the world.
“Ireland is fortunate to have this platform – most similarly sized countries would kill for the chance to have this influence and access,” he says.
“This week provides an opportunity to see the world as our market and not just as a highly valuable source of inward investment. We should also see it as an opportunity to pause and reflect on what we can do to promote enterprise and entrepreneurship here at home.”
Murphy says St Patrick’s Day provides a chance for politicians, state agencies and the private sector to learn more about potential markets for Irish companies as well as sell Ireland as a business location.
He cites SXSW (South by South West, the Austin, Texas annual film and tech event) as just one high-profile example.
"Many US-based tech entrepreneurs are looking at Europe as part of their scaling plans. They are at SXSW and Irish people on the ground in Austin can have a significant early influence on the decision makers."
KPMG's "Anna Scally and Orla Gavin are in the US for St Patrick's week, initially in San Francisco and then in Austin. Their presence in the US at this time of the year is a good two-way bet. It works both ways – not just for inbound investment, but also looking at export markets for Irish goods and services."
Murphy says this dual approach to selling what Ireland has to offer is vital.
“I think most Irish business travellers realise that we have to sell Ireland as an inbound location,” he says, “but we have to also make a pitch for Irish companies and products. Having the Taoiseach out in Texas can really help set out Ireland’s credentials.
“We know Ireland is small and that we punch above our weight, but competition for attention is intense in a very crowded market. For example, the UK has a very well-resourced set of state agencies selling Britain as a location for business and a source of products and services.”
Tax variations
It is not just about a share of voice, however. Murphy also highlights variations in our respective tax codes as a key issue.
“There are a number of areas of concern. The early entry point on the higher rate of income tax is something that needs addressing. Ireland’s appeal as a location for entrepreneurs should also be on the agenda.
“We’ve been calling for a level playing field tax-wise for self-employed entrepreneurs for some time,” he continues. “The higher tax burden they are forced to bear is an anomaly, and we welcome the recent commitment the government has made to changing this in the next budget.”
His argument is also about keeping talent at home and encouraging our own entrepreneurs.
“The world has shrunk and great people have choices, including the Irish talent that the Irish taxpayer has invested in,” he says. “We need to keep more of our entrepreneurs at home and reward them for their hard work.”
Emigration is not a bad thing. “Absolutely not. We live or die by our ability to see the world as our marketplace and people should gain experience and insight abroad. The tax aspect of enticing them back can be a challenge, and we need to look long and hard at how we encourage domestic business as a result.”
Entrepreneurship
Tax, while important, isn’t the only theme Murphy highlights as crucial to helping drive the domestic economy. Attitudes to entrepreneurship can become skewed by recession, he says. He points to research that shows that those forced into entrepreneurship as a result of redundancy are less likely to employ others compared with those who aspire to entrepreneurship.
Promoting stronger linkages between domestic businesses and foreign direct investment should also be high on the agenda, he says.
"The American Chamber of Commerce in Ireland approached KPMG to support its innovation awards. This made immediate sense to us because it also seeks to recognise the efforts of domestic businesses, which have benefitted from links with multinationals.
“These linkages are vital but not always visible. Global companies in Ireland offer a ready-made market that needs to be further exploited, and part of this programme is about highlighting opportunities.”
Role models are also vital for reinforcing an enterprise culture and strengthening the part played by domestically owned business. He cites the annual Going for Growth programme as an example of a firm investing in supporting mentoring for female entrepreneurs to great effect.
Options for girls
Earlier stages of career development are also vital. Murphy highlights Cork’s IWISH programme, a local initiative that promotes science, technology, engineering and mathematics (Stem) career options for girls through the use of female leadership role models from local tech businesses. (KPMG’s involvement is led by Cork-based partner Caroline O’Driscoll.)
“Irish business needs to leverage the entire talent pool,” Murphy says. “The opportunities missed by not actively promoting Stem subjects to girls can’t really be measured, but common sense says we need to do something about it.”
KPMG's Growth Agenda briefing in Dublin on March 25th will feature entrepreneur Mark Roden telling the story of Ding, a business that enables those living abroad in more than 100 countries to send home mobile phone top-ups instantly .
“Role models can be inspirational, but they can also deliver totally pragmatic insights” Murphy says. “Their stories have just as much appeal to domestic businesses as they do to the entrepreneurs and visionaries celebrating St Patrick’s Day in Austin, Texas.”
