Key Challenges and Opportunities for Indian Startups and Entrepreneurs
India is an emerging market for startups and entrepreneurs. Although for new businesses, there are some key challenges that are very difficult to conquer. Without overpowering these challenges entrepreneurs and startups cannot build a big business. If you are just getting into business, be ready for both challenges and opportunities that will come in your way.
The Entrepreneurship Cell-E-CELL organised a two-day national level E-Summit at the IIT Bombay campus. During this occasion, a number of eminent personalities from various industries and organizations shared their knowledge on different areas coupled to the entrepreneurship. Here Niti Aayog, CEO, Amitabh Kant spoke on key challenges and opportunities for Indian startups and upcoming businesses. Based on the shared knowledge by Amitabh Kant we have compiled few points below which differentiate India’s from other countries.
According to Kant, “The Indian government is helping startups and entrepreneurs by scrapping old rules presented there for more than 60 years.” A set of new guidelines and policies is launched by the present government to promote innovative activities in India. ‘The Startup India’ is a flagship program intended to reduce the rules and regulations burden from Startups. In case of taxes, exemptions are given all along easing compliance and reducing regulations. Startup India Hub is a single-point of contact for providing help to new businesses. Through this platform startups are able to register a business by just filling up a short form from single-point of contact online or through the mobile app. In addition, the numbers of registration forms for a startup have been also reduced and it is only three now.
Globalization and entrepreneurship can go hand in hand! Globalization facilitates technological innovations that help entrepreneurs to ensure growth through easy processes. Kant said, “Globalization is the key to success and for that it is important to dream big.” Entrepreneurs will grow automatically, if they continue to extend globally. So, it means for entrepreneurs to become the part of the global world in very important.
Entrepreneurs can leverage maximum benefits from competition! A healthy competition helps to grow creatively all along the development of new skills. Kant believes that the competition within states will increase the number of startups as it support talent and increase investments among startup system. It will also come up with various solutions for water management and modernization of agriculture. There is a huge community of investors that offer support to businesses who want to grow in a competitive atmosphere.
Unlike the west, India accounts more than 72 per cent young population below the age of 32 years which makes the country more promising for the people who have entrepreneurial mind sets. But Kant pointed out, India need to grow at a rate of 8-9 per cent by filling gender gap. Here women contribute only 17 per cent to the total GDP while globally women contribution is 30 per cent and this gap is huge.
India is a grooming destination for innovation and the cities like Bangalore, Hyderabad and others are leading names in the list of innovation hubs with a well established infrastructure to support innovations. In addition, many big companies or MNCs have also established their base in these cities so that they can get benefit of innovations at a low cost. As a result these hubs have also opened new avenues for IITs graduates with innovative ideas and need support system to convert these ideas into businesses.
Challenges Means Opportunities
India is facing various challenges like population, poverty, sewage, water management, over use of plastic etc. and all this need to be solved through innovative ways. Kant said that Silicon Valley have least problems but highest number of innovations. But opposite to this India have high number of problems with least number of solutions that opens doors for businesses with innovative ideas. Urbanization is other key challenge which is attracting foreign investors’ interest in the innovative ideas related to electrical vehicles and climate change etc.
The future of India lies in a strong startup ecosystem. Studies indicate that the startup India movement has energized startups and entrepreneurs. India will have 100,000 startups by 2022-23 which will create new job opportunities through their startup ventures.