Climbing the corporate ladder requires a lot of time and effort, but by the time you make it to a high position, you may find a Gen Z dropout giving you orders. High living expenses, the waning appeal of a college education, and a plethora of options have prompted Gen Z to work on their own side hustles more than other generations.
Various research papers, statistics, and studies draw the same conclusion. Gen Z is getting into entrepreneurship at a rapid rate, and it's more prevalent among individuals who don't have college degrees.
Gen Zers Are Leading The Business Boom
The pandemic was a major turning point for businesses. Data from the U.S. Census Bureau, sorted by the Commerce Institute, showed that there were 3.5 million new businesses created in 2019. That number shot up to 4.4 million in 2020 and reached a record 5.4 million in 2021. More than five million new businesses have been added each year since 2021.
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The desire for flexibility and freedom has played a big role in this mindset shift. Younger generations want more control over their schedules and see side hustles as a path to achieve that objective. A recent study from Resume Genius indicated that 91% of Gen Z workers prioritize work-life balance.
This trend is likely to grow among Gen Z and younger generations, especially as the resentment for college and student loans grows. The Resume Genius study found that 23% of Gen Z workers regret going to college, and 58% of Gen Z workers have a side hustle. The percentage of Gen Z workers with side hustles increases if narrowed to college dropouts. An additional 19% of Gen Z workers said that their college degree didn't contribute to their careers.
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It's Easier To Start Side Hustles Now
Gen Z's shift to side hustles comes at the right time. It's easier than ever before to start your own business. You just need an internet connection to learn business skills, build your network, and contact potential customers.
You don't have to invest any money to work on some side hustles. It's possible for young adults to make money without investing money, just like a regular job. However, some side hustles are highly scalable. If you take the same concept and expand it with systems and workers in the future, it's possible to make seven figures from a single side hustle.
Of course, it's not easy to grow a successful side hustle. However, Gen Z college dropouts have more time to make their side hustles work than full-time students. People have more opportunities than before, but not everyone is seizing them.
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College Is Getting Outdated
Colleges haven't adapted as quickly as the world. It's possible to get a marketing degree without taking a class on setting up online ad campaigns or creating a content marketing strategy.
Artificial intelligence is another dark cloud that's looming over the collegiate business model. This technology makes it easier for people to learn critical skills that can help them advance in their careers. As artificial intelligence changes the corporate landscape, it can make some jobs unnecessary, along with their corresponding college degrees.
Gen Z workers will soon make hiring decisions. People who don't value college degrees or view college as a financial mistake may not hold it against job candidates who opted for a less conventional route.
Getting a college degree doesn't mean you're ahead of people who didn't get a degree. In fact, a four-year degree may put you behind your most ambitious competitors.
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