Recent studies suggest that during the last two decades the development of new technologies, and the emergence of new business models, has shifted from large corporations to small and new ventures (Thurow, 2003; Wennekers et al., 2005, Amorós and Cristi, 2008). Nevertheless, the competitive impact of the latter differ not only between countries with different stages of development but also between countries at the same level of development and among regions in a single country (Audretsch and Keilbach, 2004; Belso, 2005; Acs and Armington, 2006; Carree et al., 2007). Latin American countries have showed lower levels of development and by consequence face a relative absence of more value-added entrepreneurial ventures. In this paper we investigate the relation between entrepreneurial activity and competitiveness performance in Latin American countries. We think that entrepreneurship and innovation are keys to overcoming this recent lack of dynamism on emergent economies.