DYNAMICS OFENTREPRENEURSHIP

EditorsDr. P.M. SHIVA PRASAD

M.Com., MBA, Ph.D.,Assistant Professor and Head,

Post-Graduate Department of Commerce,Teresian College,

Mysuru - 570 011, Karnataka, India.

Dr. VEENA M. D’ALMEIDAM.Com., Ph.D.,

Associate Professor and Principal,Teresian College,

Mysuru – 570 011, Karnataka, India.

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Dedicated to

Dr. Sr. Sajitha, CSST

Rev. Sr. Anjali, CSST

&Teresian College, Mysuru

PREFACEEmployment is not merely a means of livelihood for young people. It is also the enabler of

discovery, self-discovery and self-development. Youth is the age when life is most creative andjoyful. It is the age when idealism blooms and social consciousness is sharpened. It is whenyoung people begin to dream and learn to struggle to realize their dreams. However, it is possibleonly if the minds and hands of young people are employed in gainful work.

Entrepreneurship is the result of self-confidence, skills and desire to become rich, creativity,imagination and innovation. Entrepreneurship is important for financial freedom and wealthcreation.

When they become successful, they inspire social development. There are profound effectsof entrepreneurship on the society. Besides improving the standard of living, it influences thesociety with leadership skills. Eventually, the society will be benefitted by the corporate socialactivities.

Entrepreneurship is a key driver of our economy as a high majority of jobs are created by andthrough with what started as a small idea. By integrating entrepreneurship in the education system,young people can build the confidence to see value in their own ideas. In addition, today’s worldwith its burgeoning population offers limited avenues of employment. This makesentrepreneurship all the more necessary.

Entrepreneurship is an important facet of industrial growth and development of a nation. It isthe backbone of a nation that sets its eyes on maximizing its performance in every field. The spiritof entrepreneurship brings about enthusiasm, persistence and the ability to seek entrepreneurialopportunities that lead to success.

Entrepreneurship as an economic tool is vital for national development and for solving manysocial problems. It fosters economic growth and prosperity of a country. Apart from providingjobs for skilled workforce, entrepreneurship will contribute the tax revenue to the governments.It also promotes research and development, thereby resulting in creation of new technology andinnovative goods and services, thereby increasing productivity. Entrepreneurship createscompetition to develop and produce qualitative products at competitive prices. Hence, it increasesthe demand for goods and services. Entrepreneurs act as the change agents in the market economy.

A nation’s ability to generate a steady stream of business opportunities can only happenwhen its people take up entrepreneurial activities. Entrepreneurs are essentially the engines ofgrowth for a nation. There are several factors that go into making a successful entrepreneur, andhe or she need not necessarily possess a strong business and financial background. On thecontrary, well-conceived and well-directed training can always produce an outstandingentrepreneur.

Governments play a crucial role in nurturing entrepreneurship. Unregulated entrepreneurshipmay lead to unwanted social outcomes including unfair market practices, corruption, financialcrisis and the like.

Entrepreneurship does not emerge and grow spontaneously. Rather, it is dependent uponseveral economic, social, political and psychological factors. These environmental factors haveboth positive and negative influences on the growth of entrepreneurship. In order to takeadvantage of the positive effects of the entrepreneurship, there is a dire need for promotion ofentrepreneurship education. The entrepreneurship education should focus on developing risk-taking ability, accountability, leadership skills and the like.

Paradoxically, a significantly high number of entrepreneurs may lead to fierce competitionand loss of entrepreneurial choices for individuals. With too many entrepreneurs, levels ofaspirations usually rise. Owning to the variability of success in entrepreneurial ventures, thescenario of having too many entrepreneurs may also lead to income inequality, makingindividuals more or less dissatisfied.

Given these multi-dimensional perspectives on entrepreneurship, this book will provide anopportunity to the reader to understand the dynamics of entrepreneurship. This book is dividedinto four sections, viz., Entrepreneurship, Women Entrepreneurship, Rural Entrepreneurship andSocial Entrepreneurship.

Dr. P.M. Shiva PrasadDr. Veena M. D’Almeida

CONTENTSSl. No. Chapter Title Author(s) Page Nos.

SECTION 1: ENTREPRENEURSHIP

1. Make in India: A Boon to Entrepreneurship Dr. A.C. Pramila &H.R. Arpitha

3-6

2. Indian Organic Market: A New Horizon of Opportunities andGrowth for Entrepreneurs

Dr. Aisha M. Sheriff &Sadia Tabassum

7-15

3. Paradigm Shift in Indian Entrepreneurship Developmentthrough Skillpreneurship

Dr. B. Ravi Shankar 16-19

4. Role of Micro and Small Enterprises in the EconomicDevelopment of Hassan District

Dr. H.E. Savithri 20-23

5. Creating Startup and Entrepreneurial Ecosystem in Tier-2 andTier-3 Cities

Dr. H.R. Mahadevaswamy& K.S. Mallesh Kumar

24-29

6. Entrepreneurial Ecosystem and its Components in the LifeCycle of Startups in India

Dr. S. Manju 30-36

7. A Study on Green Entrepreneurship with Special Reference toInfosys, Mysuru

Dr. V. Ramesha 37-41

8. A Secondary Data Analysis on the Factors AffectingEntrepreneurship in India (2010-2018)

G. Ramacharan &U. Aparna

42-45

9. Conceptual Framework of Youth Entrepreneurship C. Divya 46-50

10. Empowering Employment through Entrepreneurship:A Contemporary Approach

H.A. Anusha 51-55

11. Entrepreneurial Attitude among the Graduates in Sagar Talukof Shivamogga District

K.S Mithila . 56-60

12. Entrepreneurial Ecosystem: An Overview of an InternetEntrepreneur’s Ecosystem

M.N. Suraj & N.G. Lokesh 61-65

13. Role of Government for the Development of Entrepreneurshipin India

M. Shivaswamy 66-70

14. A Study on India’s Efforts in Promoting Entrepreneurship andInnovation

R.S. Sandeep & K. Pramod 71-74

15. Entrepreneurship Potentiality among Tribal People: A Studyin Joida Taluk

S.N. Nitin &Anjan A. Kaikini

75-80

16. Entrepreneurship in the Tourism Industry S. Nikshitha &S.S. Yashaswi Bhat

81-83

17. Role of Corporate Entrepreneurship in Indian BankingIndustry

Shama E. Milton 84-88

18. An Analytical Study of Government Initiatives forEntrepreneurship Development in India: A Special Referenceto Startup India

T.R. Girish 89-97

19. An Overview of Recent Policy Reforms for EntrepreneurshipDevelopment in India

Yogesha &B.G. Viswanatha Setty

98-101

SECTION 2: WOMEN ENTREPRENEURSHIP

20. An Empirical Study on Promoting Women Entrepreneurship:A Case Study with Special Reference to AWAKE, Bengaluru

Dr. Alure Gowda &H.J. Nikhitha

105-110

21. Role of Women Entrepreneurship in India towardsDevelopment of Various Sectors

Dr. K. Deepak &R. Sowjanya

111-117

22. Microfinance: A Tool to Empower Women Entrepreneurship Dr. K. Lakshmisha &S. Sujatha

118-127

23. Role of Banking Industry in Women Entrepreneurship Dr. R. Supriya 128-132

24. Women Entrepreneurship Development in India:A Sustainable Approach for Women Empowerment

Dr. Suguna Basavaraj 133-136

25. Women Entrepreneurship in Service Industry A.C. Anusha &H.S. Anusha

137-142

26. A Study on Women Empowerment with Special Reference toWomen Entrepreneurship in Thrissur District, Kerala

Alagra Antony &P.S. Aslam

143-148

27. Women Entrepreneurship in Hospitality Sector with SpecialReference to Kodagu District

Arshaq Habib 149-154

28. Women Empowerment through EntrepreneurshipDevelopment

H.N. Harish &B.P. Jagadheesha

155-159

29. Obstacles for the Women Entrepreneurship Development inIndia

H.V. Prashanth JainB. Jamuna Rani

160-164

30. Gender Discrimination in Entrepreneurship and What Makesa Successful Women Entrepreneur

Kanakavalli K. Kundury &Fouziya Farhana

165-169

31. Women Entrepreneurship: Issues, Challenges andOpportunities in India

Merwin Pinto 170-175

32. Rural Women Entrepreneurship: A Change Agent in theModern Society

P. Beena &B.S. Shashwathi

176-180

33. Women Entrepreneurship in India P. Nandan 181-184

34. A Study on Women Entrepreneurship in India S. Tanuja 185-189

35. A Study on Microfinance for Women Empowerment W. Arun Devapura 190-194

SECTION 3: RURAL ENTREPRENEURSHIP

36. A Study on Rural Entrepreneurship Development Dr. B.C. Ravi &G.S. Vimala

197-201

37. A Conceptual Framework on Issues and Challenges of RuralEntrepreneurship in India

Dr. V. Poornima 202-206

38. Rural Entrepreneurship: Opportunities and Challenges inIndia

A.G. Kaveriamma 207-210

39. Rural Entrepreneurship with Special Reference toKodagu District

H.C. Chethan 211-215

40. Rural Entrepreneurship in India: Growth, Opportunities andDevelopment Programmes

H.N. Ashalatha &Dr. N.A. Dharshini

216-222

41. Agro-based Entrepreneurship in Kodagu District with SpecialFocus on Honey and Homemade Wine Business

K.B. Shobha 223-226

42. Rural Entrepreneurship by Empowered Women:A Study in Sagar

K.L. Mayoora Kumar 227-231

43. A Study on Entrepreneurship as a Tool for RuralDevelopment

M. Keerthi 232-236

44. Major Problems and Challenges in Rural Entrepreneurship R. Raja Rajeshwari &B. Lokesha

237-242

45. Rural Entrepreneurship: A Significant Role in Developmentof the Indian Economy

V. Monisha &N.K. Vibhashree

243-249

SECTION 4: SOCIAL ENTREPRENEURSHIP

46. Concernment of Social Entrepreneurship in India Dr. B. Harshavardhana &H.G. Guruprasad

253-258

47. Social Entrepreneurship: Challenges in India Dr. G.H. Mahadevaswamy& G. Shyamala

259-264

48. Conceptual Framework of Social Entrepreneurship Dr. P. Paramashivaiah &M.S. Sanmathi

265-267

49. Social Entrepreneurship in India: An Overview CMA T.R. Trinesha &S.L. Shankar

268-273

50. A Study on the Problems and Prospects of SocialEntrepreneurship

K.P. Harikrishnan 274-279

51. Social Entrepreneurship: A Success Factor towards RuralWomen Development

N.R. Rohith &B.N. Purushothamma

280-284

52. Social Entrepreneurship: Emergence, Challenges andOpportunities in India

Shiny Moses 285-289

SECTION 1

ENTREPRENEURSHIP

Make in India: A Boon to Entrepreneurship 3

ISBN: 978-93-5367-417-5

Chapter

1Make in India: A Boon to

EntrepreneurshipDr. A.C. Pramila H.R. Arpitha

Assistant Professor, Department of Commerce,Maharaja’s College,

Mysuru.

Research Scholar,University of Mysore,

Mysuru.

ABSTRACTEntrepreneurship plays a significant role in the economic development of a country and today it is

a buzzword not only in India but all over the world. The entrepreneurship creates wealth and jobsleading to the balanced regional development, community development and contributes to GDP andper capita income. Considering the significance of entrepreneurship, the Government of India haslaunched a flagship campaign called “Make in India” on 25th September 2014. The campaign haslaunched many schemes for budding entrepreneurs of the country such as Startup India, Stand UpIndia, MUDRA Bank, etc. The Make in India programme will definitely encourage and empowerentrepreneur specially the first generation entrepreneurs. This paper focuses on the schemes andinitiatives of Make in India programme for the first generation entrepreneurs.

INTRODUCTIONIndia is a country rich in natural resources. Labour is abundant and skilled labour is also easily available among

the educated class of the country. Today, India is considered as the most preferred manufacturing destination in theworld. In India, the manufacturing sector is currently contributing to 15% of the national GDP. The Government inorder to increase it to 25% and to generate jobs, attract much FDI and transform India into a manufacturing hubpreferred around the globe has launched “Make in India” campaign on 25th September 2014. The campaign has led tothe launch of many more schemes such as Startup India, Stand Up India, MUDRA Bank, etc. to promoteentrepreneurship and innovation in the country.

NEED FOR THE STUDYAccording to a Randstad Work Monitor Survey, 83% of the Indian workforce would like to be an entrepreneur.

Entrepreneurial ambition among the workforce is highest in India and India is considered as the land of risingentrepreneurship. Many of the workforces are considering leaving their current jobs to start their own business. But fora stable business environment and for fostering a new aspiring and ambitious Indians, an effective ecosystem andreforms like Make in India, Startup India, Stand Up India, etc. are the need of the day.

OBJECTIVES OF THE STUDYThe main objectives of the study are:1. To give an overview of Make in India campaign.2. To study the schemes of Government of India to promote entrepreneurship.

Dynamics of Entrepreneurship4

DATA AND METHODOLOGYThe data required for the study has been collected from secondary sources. The data collection includes:1. Annual reports of Ministry of Commerce and Industry, Government of India.2. Various websites connected with Make in India, Startup India and Stand Up India.3. Newspapers, journals and magazines.4. Other related sources.

MAKE IN INDIA — AN OVERVIEWMake in India is a major new national programme of the Government of India designed to facilitate investment,

foster innovation, enhance skill development, protect intellectual property and build best-in-class manufacturinginfrastructure in the country. The initiative was formally introduced on September 25, 2014 by Mr. Narendra Modi atVignyan Bhavan, New Delhi, in the presence of business giants from India. The logo of ‘Make in India’ – a lion madeof gear wheels – itself reflects the integral role of manufacturing in government’s vision and national development. InIndian folklore, the lion denotes the attainment of enlightenment, besides representing power, courage, pride andconfidence.

The main objectives of Make in India are: To create job opportunity To cut imports To encourage exports To enhance R&D in India( mainly defense) To attract investments from across the globe.The issues and challenges for Make in India programme are: Lack of infrastructure facility Lack of skilled manpower Labor law Fluctuation in international market price (for certain commodities) Tax laws

Table 1: Increase in FDI after the Launch of Make in India Programme

Year FDI (US$ Billion)2012 35.122013 22.422014 24.302015 30.932016 40.002017 43.482018* 28.04

Source: Department of Industrial Policy and Promotion.But unfortunately, the GDP has not increased as expected during the launch of Make in India programme.

Table 2: Gross Domestic Product (GDP)

Year GDP Growth Rate2012 5.46%2013 6.39%2014 7.41%

Make in India: A Boon to Entrepreneurship 5

2015 8.16%2016 7.11%2017 6.68%2018 7.3%

Source: GOI, Ministry of Statistics Programme and Implementation.

STARTUP INDIAThe Startup India initiative launched in January 2016 by Prime Minister Narendra Modi offered incentives to such

ventures to encourage entrepreneurship and innovation. The main objectives of Startup India initiative are: To encourage entrepreneurship To generate jobs To abolish License Raj Funding support and incentives.Through the Startup India initiative, Government of India promotes entrepreneurship by mentoring, nurturing and

facilitating startups throughout their life cycle. Since its launch in January 2016, the initiative has successfully given aheadstart to numerous aspiring entrepreneurs.

Table 3: Number of Startups Incorporated

Year No. of startups incorporated2014-2015 6852015-2016 16092016-2017 25972017-2018 2711

Source: GOI, Ministry of Commerce and Industries, Department of Industrial Policy and Promotion.

STAND UP INDIAThis scheme was launched in 2015. Stand Up India seeks to leverage institutional credit for the benefits of Indian’s

underprivileged. It aims to enable economic participation of, and share the benefits of Indian’s growth, among womenentrepreneurs, Scheduled Castes and Scheduled Tribes. Towards this end, at least one women and one individual fromthe SC or ST communities are granted loans between ` 1 million to ` 10 million to set up greenfield enterprises inmanufacturing, service or the trading sector. The Stand Up India portal also acts as a digital platform for smallentrepreneurs and provides information on financing and credit guarantee.

It aims to provide equal opportunities to entrepreneurs from every spectrum of India, especially who find it hard tomake their way in to the world. Under this scheme, each bank branch has been mandated to lend to one micro enterprisepromoted by a women and SC or ST entrepreneur.

Table 4: Total Loan Sanctioned under the Scheme

Category Loan Sanctioned for Number of IndividualsSC 5852ST 1761Women (General) 33321

Source: Money control.com.

Table 5: Amount Sanctioned under the Scheme

Total Amount Sanctioned under the Scheme Amount Disbursed8803 crore 4852 crore

Source: Money control.com.

Dynamics of Entrepreneurship6

NATIONAL SKILL DEVELOPMENT MISSIONThis scheme was launched in July 2015. This mission aims to build synergies across sectors and states in skilled

industries and initiatives. With a vision to build a ‘skilled India’, it is designed to expedite decision-making acrosssectors to provide skills at scale, without compromising on quality or speed. The seven sub-missions proposed in theinitial phase to guide the mission’s skilling efforts across India are:

Institutional training Infrastructure Convergence Trainers Overseas employment Sustainable livelihoods Leveraging public infrastructure

MUDRA YOJANA (Micro Units Development and Refinance Agency Limited)MUDRA Yojana was launched by the Honorable Prime Minister Narendra Modi on 8th April 2015 and was

registered as a company in March 15th under the Companies Act 2013 and as a non-banking finance institution with theRBI on 7th April 2015. The main objectives of MUDRA Bank are:

Guidelines for micro financing MFI entities registration MFI entities supervision MFI entities accreditation Developing the micro-enterprise sector

CONCLUSIONThe decade of 2010-20 is declared as the decade of innovation in India. Innovation is the key for growth of

entrepreneurship, but the unfavourable ecosystems such as unorganized and fragmented markets, lack of transparencyin policies, lack of knowledge, etc. has hindered the effective implementation of these schemes.

Many policy reforms have been and are being made to resolve the hindrances in establishing business. India’s rankin the World Bank’s case of doing business has also increased.

The government has relaxed norms in raising finance for startups. This is a welcome step but at the same timecaution should be taken to see that borrowers do not become defaulters and affect the economy rather than improving it.If the government takes both encouraging and cautions steps, then these schemes would deserve lot of credit and will beboon to an entrepreneurship. But for building entrepreneurial environment, it essential that it is not only the governmentbut the educational institutions should come forward and enable the youths specially the first generation entrepreneursto make use of these schemes and build a culture for entrepreneurship development in India.

REFERENCES1. Dr. Rajeshwari M. Shettar, “Impact of Make in India Campaign: A Global Perspective”, Quest Journal of Research

in Business and Management, Vol. 5, 2017.2. Manish Kumar Jindal and Awadesh Bhardwaj, “Entrepreneurship Development in India: A New Paradigm”,

Proceedings of the World Congress on Engineering 2016, Vol. II, WCE 2016, June 29 - July 1, 2016, London, UK.3. Pratiksha Mishra, Dr. Taruna, “Role of Make in India as Driver of Growth in Manufacturing Sector”, International

Journal of Applied Research 2016, Vol. 2(1).4. Ravin Kadian and Aarti Chahal, “Make India Innovative and Competitive: Role of MSMs”, International Journal of

Research in Social Sciences and Humanities (IJRSSH), Vol. No. 5, Issue No. III, Jul-Sep 2015.5. S. Soundhariya, “Make in India – Scheme for Transforming India”, Global Journal for Research Analysis (GJRA),

September, 2015.