SCHOOL OF MANAGEMENT

ENTREPRENEURSHIP
2018-19
Unit- 1
➢Entrepreneurship and Intrapreneurship similarities and variances
➢India’s start up revolution–Trends, Imperatives, benefits; the
players involved in the ecosystem, Business, Incubators
➢Rural entrepreneurship
➢social entrepreneurship
➢women entrepreneurs
➢The entrepreneurial mind set
➢Key attributes an entrepreneur
➢Desirable and non acquirable attitudes and behaviors and
Readiness
➢The right time, right age, right conditions
 Entrepreneur is a person ‘who starts a business.’ He / She can
also be termed as a person who starts an enterprise, business or
a firm.’ He / She works for himself / herself and also provides
employment to other. Differences
Similarities BAS IS FOR
ENTREPRENEUR INTRAPRENEUR
COMPARIS ON

➢Hard worker Entrepreneur refers to a

Intrapreneur refers to an
➢Addicted to work Meaning person who set up his own
business
employee of the organization

➢do their job very Approach Intuitive Restorative

Use resources provided by the
Resources Uses own resources.
sincerely and company.

passionately Capital Raised by him. Financed by the company.

➢ great innovators Enterprise Newly established An existing one

Dependency Independent Dependent

➢highly thinking
capacity to develop Risk
Borne by the entrepreneur
himself.
Taken by the company.

something new always Creating a leading

Change and renew the existing
Works for organizational system and
position in the market.
culture.
 India’s start up revolution–Trends, Imperatives,
• India is amongst the top five countries in the world in terms of startups. US ranks number one on the list with
83,000+ startups.
• Life Cycle of Stratups:
• Discovery : -- Identify a potential scalable product/service idea for a big enough target market
• Validation: -- The service or product discovered hits the market, looking for the first clients ready to pay for it
• Maintenance: -- Maximising benefits and facing problems derived from the global dimension that the business has
achieved
• Sale or Renewal : - The decision to sell the start up toa giant or acquire huge resources that the brand will need to
continue growing

India China Israel Singapore Japan US

Total no. Of Start ups
10,000 10,000 4,750 N.A. N.A. 83,000

Tech-based 4,300 3,400 4,000 N.A. N.A. 48,500

Non-Tech based 5,700 6,600 750 N.A. N.A. 34,500

Set-up new bus. Dates 30-60 30 13 2 10 4

17%(100% tax
Corporate tax rate 34% 25% 26% exemption for 34% 39%
startups)

Bank lending rate 10.30% 5.60% 3.90% 5.40% 1.20% 3.3

• MAKE IN INDIA
• In September 2014, Prime Minister Narendra Modi introduced a big initiative “Make in
India” to promote the manufacturing sector by promoting companies to invest in the
sector.
• 1. The government increase the foreign Direct Investment limits for most of the sectors
• 2. Protection of the intellectual property rights of innovators and creators by upgrading
infrastructure, and using state-of-the-art technology

• STAND UP INDIA
• • Loans under the scheme would be given for greenfield projects in the non-farm sector,
• • Intention of the scheme is to facilitate at least two such projects per bank branch,
• • The scheme is expected to benefit at least 250,000 borrowers in 36 months from the
launch of the Scheme

• DIGITAL INDIA
• E-Commerce companies in India are planning to break into India’s rural market
• as a part of the government’s Digital India initiative.
• In September 2015, PM Modi visited Silicon Valley, US and had meetings with a number of
founders of technology firms and industry leaders such as Satya Nadella and Sundar Pichai
to talk about his ambitions of developing a better start up ecosystem
• According to NASSCOM start up report 2015, every year more than 800 tech start ups are
being set up in India. By 2020, a projected 11,500 tech-start ups are going to emerge and
will employ around 250,000
• According to NASSOCM report, there is a 40 percent growth in the number
of incubators to reach to approximately 110 in 2015 as against around 80 in
2014.
• Approximately 50 percent of total incubators are set up in non-metro cities
i.e. outside NCR, Bangalore and Mumbai to offer.
• Growing number of educational institutes have started setting up incubator
programmes independently or jointly.
• Shri Ram College of Commerce, New Delhi for example has set an incubator
to help their student in their own start ups, VESIT college of engineering has
set up an incubation centre with the same objective.
• Big corporate are also setting up incubator programmes to help start ups.
Tata Group launched T-Hub, Google, Microsoft Ventures etc.
• Tata has come up with country’s largest technology incubator centre ‘T-
Hub’ in Hyderabad
• Google has come up with a Launch pad accelerator programme for specific
to mobile start ups in India, Brazil and Indonesia with training and
developmental support and up to US$ 50,000 in equity-free funding
• Need: The core of the problem in countries like India is surplus agricultural
labour and closure of traditional village industries, resulting in increased
unemployment in rural areas and migration of rural youth to urban areas
in desperate search of jobs.
• Role: The fundamental role is to provide employment opportunities and
consequently, applying a check on migration. Industries in rural areas are
mostly micro or tiny in structure and quick yielding. In other words, their
gestation period is much less as compared to large scale industries. Rural
industries are also labour intensive and provide substantial employment
opportunities to rural folks of all age groups. Few examples of such type
of industries are Food Processing industry, Poultry industry, cottage and
handicrafts industry, etc.
• Challenges: Arranging working capital becomes a major task as he could
run out of money to buy raw materials though he may not yet have
earned any reputation in the market to get raw materials on credit.
Similarly, he makes several production trials, improves quality, etc..
• There are also policy challenges faced by the enterprise. To top it all,
there are marketing problems (competition, middlemen), management
problems (legal formalities, low quality of products, procurement of raw
materials, etc.), and Human Resources problems (low skill level of workers
and negative attitude of rural folk towards the ideas of business).
 WOMEN ENTREPRENEURSHIP
• Over the years, more and more women are going in for higher education,
technical and professional education and their proportion in the workforce
has also been increased. With the spread of education and awareness,
women have shifted from the kitchen, handicrafts and traditional cottage
industries to non-traditional higher levels of activities.
• BARRIERS FACED BY WOMEN ENTREPRENEURS
• Finance
• ADMINISTRATIVE AND REGULATORY REQUIREMENTS
• LACK OF MANAGEMENT SKILLS OR TRAINING
• MARKETING
• TECHNOLOGY
• . LACK OF CONFIDENCE
• LACK OF WORKING CAPITAL
• LIMITED MOBILITY
• MALE DOMINATED SOCIETY
• LOW RISK BEARING ABILITY
• SOCIO-CULTURAL BARRIERS
• Reach Out to Customers First
• Find a New Market for an
Existing Product
• Use Networking to Build Your
Business
• Give Without Expecting a
Return
• Keep Control of his Vision
• Understand the Power of
Brand
• Focus Your Energy on What’s
Good for Your Business
• Always Maintain Quality
• Set HIS Product Apart
• Take Ownership
• Passion and Motivation. ...
• Not Afraid to Take Risks. ...
• Self-belief, Hard Work and Disciplined Dedication.
...
• Adaptable and Flexible. ...
• Product and Market Knowledge. ...
• Strong Money Management. ...
• Effective Planning
• (Not Over-Planning) Skills. ...
• The Right Connections
❑ Identification of Opportunities.
❑ Vision and Influence. .
❑ Comfort with Uncertainty. .
❑ Assembling and Motivating a
Business Team.
❑ Efficient Decision Making.
❑ Building Networks.
❑ Collaboration and Team
Orientation. .
❑ Management of Operations..
❑ Finance and Financial
Management.
❑ Sales.
❑ promoting strong customer
relationships and engagement.
❑ Preference for Established
Structure. .
❑
 Right Age, Time, Conditions
Right AGE
➢ The most successful new business
ventures come from the young
➢ Even the very young, is
widespread
➢ Successful entrepreneurs are
much more likely to be middle-
aged
➢ Even some of the most famous
young founders tend to peak
toward middle age
Prime time for entrepreneurship is
middle age
The best age to start a business is 24
years old.
Right time and conditions
Technology has become pal.
Competitors are your friends.
Globalization is your secret friend
You're on the right side of regulation