Saturday, 27 August 2016

How do entrepreneurs contribute to India's business ecosystem


Who is an entrepreneur?
In today’s context we hear a lot about entrepreneur, entrepreneur management, many scholars have many definitions to it but in simple terms, they are -

  1. Who are risk takers, 
  2. Decision makers,
  3. Ready to lead from the front
  4. Ready to think out of the box
An entrepreneur works an as employee, runs a business and takes all the risks and rewards that comes into the business, puts his own ideas, and is commonly seen as a leader and innovator of new ideas and processes.
If we compare Indian Economy to a Bus, the people that drive this bus are the entrepreneurs. What are the Role of Entrepreneurs in today’s modern business world? – India strives for being a super power country, what will lead us to achieve this status?

 Most primary factor is Indian economy – Service sector induces in the growth of Indian Economy in recent times. 
(1) The growth rate of service sector is been very rapid, due to which the Gross Domestic Product (GDP) has risen, giving a major boost to the Indian Economy.
Better Lifestyle – People strive to live better, due to economic growth and increase in spending capacity which is a perk of employment rate growing high.
Technological advancements – The world is traveling in a time machine, where traditional use of mobile phones is now a basicity serving its purpose by supporting and making people’s lives easier and work life more better with optimum utilization of these technological advancements. It is remarked as a blessing to the business world and economic growth.
Better education system – Curiosity is a wick in the candle of learning. There is no good teacher than a curious learner. India induces in fine learners and thus is leading in the world of education. Innovative thinkers has lead in creating a quality education system with authenticity in producing best professionals who can make a difference and create a world a better place. It is placed as a helping hand and that is how we stand tall amongst all, when qualitative method of learning is emphasized.

Indian Business Strategies have changed over time. We can differentiate in methods of these processes, from running a business, to risking it at the extremes. An Entrepreneur is an innovative thinker who strives in succeeding in his primary goal of generating income and make a difference in society by standing out in the crowd. With a goal of generating higher incomes, there comes a risk of sailing through the highs and lows. An entrepreneur has to strategically ideate and evaluate business plans to bring in the business. The risk factor can be viewed as a strength of an entrepreneur. The difference is noticeable in the traditional ways of planning, organizing, controlling, decision making, Risk-taking factors of an entrepreneurship. Modestly, newer ideas justifies to be innovative and important in the competitive market policies.
Indian business ecosystem -- Post liberalization period 1991, India was introduced with significant policy shifts in the economy, with an aim of making Indian economy market-oriented and enlarge the scope of private and foreign investments.
‘Economic Liberalization of 1991 - Prime Minister Narasimha Rao, along with his finance minister Manmohan Singh, initiated the economic liberalization of 1991. The reforms did away with the Licence Raj

(2), reduced tariffs and interest rates and ended many public monopolies, allowing automatic approval of foreign direct investment

(3) in many sectors. Since then, the thrust of liberalization has remained the same. By the turn of the 21st century, India had progressed towards a free-market economy, with a substantial reduction in centralized control of the economy and increased financial liberalization. This has been accompanied by increases in life expectancy, literacy rates and food security, although urban residents have benefited more than rural residents, with investments made Indian counterparts started following foreign business strategies and implementing in the free-market economies.’
All these lead to Indian economy advances and came forth contributing security in terms of–

1. Monetary advances– Direct foreign investments encourages the Indian economy and thus made system more free and brought down inflation rates.
2. Technological – With advancements in business thinking, technology plays a vital role. Adoption of these invention in technology made it crucial, and speed up the business processes.
3. Innovation - Necessity leads to invention, and innovation is the underlying plan of these inventions.
4. Change of attitude - earlier there was not support of the Government to entrepreneurs, although now various schemes are coming up which makes secured business strategies, encouraging Indian entrepreneurs to implement and bring in their innovative ideas in the market.
5. Start-ups – The Prime Minister, Shri Narendra Modi initiated with the Action Plan of Start-Up India. This Initiative primarily aims at nurturing entrepreneurship and innovation in the ecosystem. The basic principle of this plan is promoting the idea of a Nation as a Job creator 

(4), than being a Nation of job seeker.
Bringing in this change, the outcome of can closely be gauged with few success stories who are bound to bring change - 
  • Kolkata-based Green Clean Media Works generates Rs 1 lakh revenue per month by installing Adbins in residential complexes
  •  LIFT Academy – a corporate veteran’s effort to make uninformed workers skilled employees
  • Indian markets being extremely price sensitive, Flipkart overhauls an American e-commerce company Amazon, by it’s rapid growth over a very less time. TCS, Infosys, Nasscom are few examples of these start-ups
(5) ‘India startup ecosystem: 3,000+ startups now, 10,000 by 2020. The first set of data shows the sheer volume of India’s tech ecosystem. With 3,100 startups, and 800 more every year, this is the 4th largest country after the US and China. The positioning of India as a startup country is also thought of in the light of other famous startup scenes such as the US, Israel, Singapore.’ Full report from Nasscom’s website.

(6)However, the government needs to nurture and encourage an even stronger customs of entrepreneurship, for Small business start-ups to come out on the bigger front in the world market, setting funding regulations and managing economy more efficiently.

The young and dynamic Businesses are up in market, making it’s significance and forming India a well-backed nation of strong enterprises.


References:
(     (2)    Licence Raj Wikipedia
(     (3)    foreign direct investment Wikipedia
(     (4)    Nation of Job Creator http://startupindia.gov.in/actionplan.php
(     (5)    Social enterprises story - https://social.yourstory.com/category/socialenterprise/
(    (7)     Nasscom’s website

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