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Some examples of well-known startup companies that have originated in Israel include Waze, a mapping company that was recently acquired by Google; iOnRoad, a mobile app that warns drivers when they are getting too close to the car in front of them; and Conduit, a community toolbar that has received international attention.

A country that breeds one of the most concentrated centers of innovation also houses large, established companies like Teva, a drugmaker listed on NASDAQ with a market capitalization of $43 billion and Check Point, founded by an army intelligence group, that is now valued at $11 billion. So what makes Israel a base to nurture the creativity, innovation, and risk that comes with starting a company?

The Military: In Israel, most citizens join the army prior to entering college. In the military, it is common to be an expert in a technology at an early age since technology is a key component in military warfare and military communications. There is also an environment and culture in the army that encourages entrepreneurship and leadership. After leaving the army, a lot of young soldiers know that they want to start a company and solve the world’s problems through technological solutions. They just have to figure out what problem to solve. Universities: Aside from government incentive, Israel also has some of the best universities in the world that focus on technology, such as the Technion in Haifa. The universities are, in a sense, a playground for entrepreneurs to meet others with similar interests who may later go into business together.

Government Resources: The Israeli government encourages young entrepreneurs to take the risk of beginning a startup company by providing early-stage funding. The government also goes to great lengths to provide support to young entrepreneurs by introducing companies to investors, creating partnerships and programs that can provide support for young companies.