Huffington Post Blog by Alexis Glick

Entrepreneurship is a two-way street. With hard work, determination and a vision, anyone can reap the benefits America has to offer. And America, in turn, reaps the benefits of new jobs, innovation and economic growth. It was this dynamic that helped propel this nation to be one of the richest countries in the world. It is this dynamic that will dictate our future prosperity.

But the continuity of this multi-generational cycle of innovation and prosperity may be at risk. The reality is that millennials, a powerful force that will make up nearly 75% of the US’s workforce by 2020, are not embracing entrepreneurship like we expected.

Generation Z, meanwhile, seems ready to embrace it, and is coming of age at a time of economic recovery, when technology has significantly lowered barriers to entry in many industries. With Generation Z on the verge of entering the workforce, and entrepreneurship at a historical low, I for one am going all-in on the belief that this will be the most entrepreneurial generation the world has ever seen.

Millennials: The Least Entrepreneurial Generation?

The steepest fall in entrepreneurship in the last 20 years has been among those aged 20 to 34. Whereas 20 years ago this age group comprised more than a third of new entrepreneurs, in 2014 they accounted for less than a quarter. There has been a steady drop in self-employment among generations, too, with millennials having the lowest rate of self-employment of the past three generations. Millennials, however, are only the starkest example in a wider trend. From 2006 to 2013, startup density among the 40 largest metro areas had declined by 24 percent.

Entrepreneurship WILL Recover

While there’s no doubt that entrepreneurism suffered as a result of the financial crisis, and it has not quite kept the pace with the recovery, there are now changes sweeping through the US startup environment that lead me to believe that entrepreneurism is finally on the road to recovery.

For instance, being located in Silicon Valley, Boston or New York City is no longer a necessity for entrepreneurs. New cities are beginning to emerge as popular and capable destinations—the likes of which include Washington, DC, Pittsburgh, Nashville, Boulder, Seattle and many more. In fact, CNBC went so far as to declare Austin “the top start-up mecca in America…” There is also the growing popularity of startup accelerators—think Y Combinator—and the emergence of equity crowdfunding, which may ease the concerns around access to capital for some entrepreneurs.

People also seem to be more curious and interested in entrepreneurship. A quick search of “entrepreneur” on Google Trends reveals that the term has been rising in popularity—albeit pretty slowly—since hitting a record low four years ago.

Generation Z: Our White Knights

Generation Z, the generation aged 2 to 19, is entering the labor market during this upswing. They are also a generation that views entrepreneurship sanguinely, and they so far seem to be embracing it.

On top of this, Generation Z are considered to be the first true digital natives. With the increasing importance of the digital economy and the emergence of phenomena such as the Internet of Things, which will create new markets for entrepreneurial innovation, this isn’t something we should overlook.

The convergence of being adept with technology and embracing entrepreneurship will propel Generation Z to be more entrepreneurial than their millennial counterparts. Millennials will still play a vital role in creating new and innovative businesses, but timing is everything, and Generation Z is coming to age just as the US has regained its economic footing and entrepreneurship has again become a feasible career choice.

A Call to Action

Of course, when it comes to Generation Z, my optimism right now remains at best an educated guess. But I’ve seen this generation in action, and they’ve convinced me.

SAP runs a Social Innovation Series in six cities. Think of it like a Shark Tank for middle- and high-school-aged students, where students pitch their original ideas and receive funding for them. What’s become apparent to me is that not only does this generation have the appetite and willingness to be self-starters, but they are naturally incorporating technology into their ideas—in ways I would never imagine. I think this is a sign of things to come, assuming they remain encouraged and feel enabled.

The task we as business leaders have at hand is to give tomorrow’s future workforce continued opportunities to try their hand at something new. Education is important, but for aspiring entrepreneurs, it is real-world, true-to-life business experiences that will help solidify and pave the way for future entrepreneurship. We all need to recognize that, and begin acting on it. Remember, it’s not just Generation Z’s future that is on the line. It’s all of ours.

Scott Jones is head of General Business for SAP North America, responsible for leading programs and partnerships to help small and medium-sized businesses (SMBs) grow and innovate