Entrepreneurship in India
India was second among all nations in Total Entrepreneurship Activity as per the Global Entrepreneurship Monitor Report of 2002. But after several years of data, India appears to have a TEA level rather close to the world average.
India is ninth in the Global Entrepreneurship Monitor (GEM) survey of entrepreneurial countries. It is highest among 28 countries in Necessity based entrepreneurship, while 5th from the lowest in opportunity based entrepreneurship.
The liberalization, which was started in 1991, and the Information Technology boom of the mid-late 90’s, have been significant factors, leading to a wave of entrepreneurship sweeping through the country.
Indians have entrepreneurial capacity. However the society and government are not very encouraging towards entrepreneurship. To a large extent, the Indian society is risk averse. People usually seek secure and long-term employment, such as government jobs. The physical infrastructure needs to be improved. Social Attitudes, lack of capital, inadequate physical infrastructure and lack of government support are major factors of hindrance.
India is the fifth largest economy in the world (ranking above France, Italy, the United Kingdom, and Russia) and has the third largest GDP in the entire continent of Asia. It is also the second largest among emerging nations. The liberalization of the economy in the 1990s has paved the way for a huge number of people to become entrepreneurs.
Over the years India and China have followed opposing strategies for development. While China’s growth has been fueled by the heavy dose of foreign direct investment, India has followed a much more organic method and has concentrated more on the development of the institutions that support private enterprise by building a stronger infrastructure to support it.
Its corporate and legal systems operate with greater efficiency and transparency than do China’s. The Government has encouraged entrepreneurship by providing training and also the facilities to succeed, particularly in the rural areas. One style of innovation that really works in a country as large and diverse as India, is grassroots innovation: this includes inventions for a milieu that is quintessentially Indian.
Moreover, in India, the post-liberalization and globalization era has brought with it a growing middle class – roughly estimated to be 250 million – and rising disposable incomes. This presents a huge potential, which if tapped can be a veritable gold mine. Entrepreneurs can make the best of this by catering to various demands of this segment. India, with its abundant supply of talent in IT, management, and R&D, has become the hot bed of outsourcing of services from all parts of the globe where companies can reduce their costs, but not their quality [If the foreign company chooses the right Indian partner].
In terms of improvement, there needs to be an increase in the quality and quantity of VC / Angel Investors in India. Also, the Governments need to still continue reducing the administrative burden on entrepreneurs, and coordinate among their agencies to ensure that the necessary resources are directed where they are needed. The physical infrastructure needs to be improved. Socially, the Indian society is adapting to a more risk friendly environment and also looking for jobs in the private sector.
Dr. Kalyani Gandhi of India Institute of Management
Dr. Ashok Jhunjhunwala of Indian Institute of Technology
Niesbud – National Center for Entrepreneurship and Small Business Development
Mr Abhaya Kumar
Indian Institute of Technology Rural Production Outsourcing
Mr. C S Subramanian of Brij Datalink
Indian Startup Ecosystem
The Indian Economy Blog
Entrepreneurship Courses in India
India Knowledge by Wharton
SME Toolkit India
VentureWoods – India’s leading venture capital and startup blog
Business Startup Report
China, India: Difference in the details
Billions of Entrepreneurs in China and India from HBS
Entrepreneurship in India: Strategy
Where Are India’s Innovative Companies, Products and Solutions?
Entrepreneurship: Riding growth in India and China
Nurturing entrepreneurship in India’s villages by MicKinsey Quarterly
Entrepreneurship In India
`I want to be… ‘
Setting Up An IT Company In India
Forming a Company in India
Early Stage Technology Entrepreneurship and Incubators in India
Starting a company in Bangalore
UK & INDIA BUSINESS ANGELS NETWORK SET TO FLY
India’s Economy – Why Go With India Over China
India needs more Entrepreneurs than Managers
Indian Business Sources
Legal Services – Legal Advice Based on Indian Law
Legal Services – Less professional, but a free service website
MyIris.com – A comprehensive website on the Indian share market
The Hindu Business Line
National Association of Software and Service Companies
VentureIntelligence – Private Equity, Venture Capital, and M&A deals in India
Accel Venture India Fund
Draper Fisher Jurvetson
MD Helion Venture Partners
Erasmic Venture Fund
MD Lightspeed Venture Partners
Nasscom-IKP India Innovation Fund
Nexus India Capital Advisors
Greylock Advisors India