An imbalanced ecosystem: start-ups in India

2021

India is the second most populated country in the world and it’s one of the biggest economies too but looking at its population, it’s still underdeveloped. India’s per capita income increased by only a 1% annualized rate in three decades after its independence. In 2018 its GDP growth rate was a mere 6.386%. The majority of India’s population is in the lower-middle-class category. This economic condition demands a better ecosystem to uplift and encourages startups that will help reduce unemployment in India. India has become a status-driven society where risk-taking and audacious behavior are not considered ideal. If this situation continues India will soon become a nation of clerks and government servants. With unemployment rising and competitive exams getting tougher, it’s getting hard for talent to get what it deserves. The below article highlights the challenges faced by the Indian Startup Ecosystem and

An increasing number of new generation start-ups in the technology/knowledge-intensive industries have created something of an "euphoria" in major cities of India. This paper discusses the salient features of the start-up ecosystem that has emerged in our country, its adequacy for start-up promotion, and the measures needed to strengthen this. As a prelude, the paper traces the origin and phases of start-up growth in India, and its employment contribution, relative to the organised sector. The paper concludes with an emphasis on the need for a steady increase in new generation start-ups as a means of productive employment generation, economic transformation and growth.

International Journal of Research and Analytical Reviews (IJRAR), 2018

In 2016, Prime Minister launched Start-up India mission in 2016 for the vision of discovering that the India become next big start-up Nation. Never seen in the history of India, so many dominant forces have gathered together to promote Start-ups and facilitate them to prosper globally. In the past few years, the Indian Start-up ecosystem has seen a mammoth growth, despite several roadblocks, adoption of play-to-win approach by the young and enthusiastic entrepreneurs was all time high. Start-ups are essentially of two kinds. One that starts something ground up, something that no one has thought about and is often ground breaking. Very complex to create this type of start-ups but once established often sees extraordinary growth. The second kind of Start-ups that we see around us is primarily the ones that do not want to reinvent the wheel. For making something new and innovative they are adding old sauce to new dish. Whatever may be the kind of Start-up, Indian Start-ups face its own set of challenges and some stellar opportunities. The present paper discusses about the Challenges and Opportunities faced by the First Generation Entrepreneurs at length.

Journal of Management and Science, 2019

India is a fast developing south Asian and seventh largest country by area. Large population of the country implies a large prospective market in India and puts more pressure for employment in the country. With the gen-next cool trend to start working on new ideas, India is all set to outperform all other nations on the world stage in the years to come. Setting up of small businesses by these young entrepreneurs is definitely going to boost the India economy in the near future. In the present decade, India is undertaking an essential shift towards startup welcoming policies and a business friendly environment. India is a populated country having increasing demand which is putting a competitive environment forcing to create innovative systems. One of these systems is a Startup ecosystem. This paper aims to study about the growth, prospects and effects of Startup systems in India.

IOSR Journal Of Humanities And Social Science (IOSR-JHSS), 2017

Startup India is a dream project of our Hon’ble prime minister Shri Narendra Modi, this scheme “Startup India” is a flagship initiative of Government of India intend to create a strong ecosystem for nurturing innovation and startup in the country that will drive a sustainable economic growth and will generate a large scale of employment opportunities. With this action plan government hopes to accelerate spreading of startups movement, this action plan based on funding support and incentives, industry academic partnership and incubation, simplification and handholding. This scheme provides a supporting plate form for entrepreneur for startup the business with simplifying process with recognition, tax benefits , advertisement, training support by experience and industry expert. There are various Venture Capitalist, Banks, SIDBI, and States are committed to participate and supporting towards establishment of startups

India is the second largest populous country in the world and it have more youth power than other countries and at the same time it have more unemployment rate, its unemployment rate is 3.43% which is huge when compared with its population. To control this unemployment our honourable Prime Minister Narendra Modi has taken a step to eradicate unemployment, and initiated a campaign Start up India. This is an action plan in this Banks will finance for start-up ventures. It is organised by Department of industrial policy and promotion (DIPP). There are various schemes available under this and the person with innovative ideas, will be benefited by this scheme. This creates an employment opportunity for many job seekers. Start-up India is launched in the year 2016, and by 2025 unemployment rate will come down to half because this creates many job opportunities. And this will improve our economic growth of our country. Many small and new entrepreneurs will be benefitted by this. Soft bank which has a headquarters in Japan had invested 2 billion US dollars for this. Our prime minister has requested all banks to support for this scheme. All the states in India were performing well in supporting start-ups, southern states shown great performance than other states. This paper highlights on the growth of tech based, non tech based, new business start-ups and number of days for setting up a new business, corporate tax rate and bank lending rate for start-ups in India compared to other countries. It also discusses about various schemes operating under Star-up India and their performance in the economy.

International Journal of Innovative Research in Engineering and Management (IJIREM), 2024

This paper analyses the policy framework for start-ups in Uttar Pradesh with reference to existing; issues, opportunities and prospects for the development of a supportive framework to create an environment for innovation and enterprise development. They include policy documents and academic articles and focuses on the period 2015-2024 with the view of identifying strengths, weakness and potential areas of improvement in relation to the startup ecosystem in the state. Funny enough, the current emerging sectors including logistics and transportation, financial and other related services, healthcare and Edtechs among others are on the rise but the issues like regulatory measures, talent search, and gender imbalance issues among others still exist. Startup Policy 2020 and infrastructure support have been beneficial, though more effective and friendly policies are needed for that. The study recognizes limitations, for example, in data acquisition and analysis, and incomplete knowledge of the SME sector conditions that may influence the credibility of findings. Most importantly, it offers policy suggestions for optimizing resource allocation and policy effectiveness and advancing sustainable development as well as a bridge between theory and practice for the state’s corporate development.

Journal of Management Studies and Academic Research , 2021

The COVID-19 pandemic and the extended period of lockdown caused massive disruption in Indian start-up ecosystem. Strict restrictions on the movement of people and goods increasing both demand and supply side risk, lack of willing investors to back up risky ideas and above all a global recession looming in, made the existence of Indian Start-ups too much difficult. However, Indian start-ups have risen to these challenges threatening the very existence of start-ups, and have been utilizing the promising opportunities brought in by the New Normal. A number of sectors have succeeded in ensuring double digit growth figures amidst the pandemic crisis and are likely to continue their growth with the innovative product and service offering in future as well. The present article is a sincere effort to elaborately highlight on the success of these Indian start-ups who have fought back the challenges of the New Normal.

Jagran Journal, 2019

Self-reliant growth is very crucial for the development of any country. Although self-reliance has been discussed since the Fifth Five-Year Plan, the commitments of self-reliance and removal of poverty have often been diluted in Draft Plans (Tendulkar, 1974) due to inadequate institutional specification and the absence of a simultaneously worked-out policy frame. Startup India is a good initiative by the government in this regard which offers opportunities for young budding entrepreneurs and businessmen to venture out and find new avenues of growth that would lead to development of the country as well.Startup India is a flagship initiative of the Government of India, intended to build a strong system of business that is conducive for the growth of startup ventures, in order to initiate sustainable economic growth and generate large scale employment opportunities. It is a 19-point plan with several incubation centres, easier patent filing, tax exemptions, ease of setting up of business, etc. (Startup, online). The objective of the research paper is to find out the success quotient of this economic initiative, opportunities of growth for entrepreneurs, gauge the extent to which this initiative reached out to business talent, evaluate the extent of ease-of-doing business within the country, observe the problem areas and assess new challenges and growth opportunities. Findings indicate that there are many loopholes in the startup ecosystem which do not permit the initiative to become a complete success. Keywords: self-reliance, economic growth, government policy, startup, ease-of-doing business