He said the young entrepreneurs would succeed if they have good ideas, skill, drive and passion.
"We understand the young people, we listen to the young people and we are sensitive to the young people," Najib said at the launch of Gabungan Rakan Entrepreneur Aspirasi Terhebat (GREAT 2014) at the Malaysian Global Innovation and Creative Centre (MaGIC) in Cyberjaya, Wednesday.
Earlier, Prime Minister said, a study showed that the desire among Malaysians to become entrepreneurs was low compared with those in other countries.
"If we want to succeed, we must have the passion to succeed. Don't think about failure. In fact, when I went to the Silicon Valley, they all tell me that the people there are used to failure but they never give up.
"They have tasted failure, they don't give up and at the next level they are able to find ultimate success," he said.
Najib said this culture must be cultivated in Malaysia.
"When I said culture, I hope the banks and financial institutions also apppreciate and not classified an individual's failure in life just because they failed while they are young.
"They are the ones when they are young were willing to take risk to succeed in later life and they are the ones we should support," he said.
GREAT 2014 is a venue where brilliant minds share their innovative business ideas. It is expected to attract over 6,000 entrepreneurs, start-ups and funders from today until this Saturday.
It is a platform for aspiring entreprenuers to interact with established entrepreneurs, potential investors and funders beside meeting other like-minded talents.