Potential of Entrepreneurship

Poverty in Nepal is pervasive, largely continual and can be imitate enough from the economic situation and the minimal process of development. Nepal is one of the poorest countries in terms of not only per capita income but also in all socio-economic aspects such as life expectancy, infant and maternal mortality rate, and adult literacy. Nepal is a population of around 3 million and whereas there is continues level of degradation of poverty, especially rural poverty, and high levels of unemployment and underemployment. Around 59.6% of total population of Nepal lies in 15-65 age brackets and through this, it has been estimates that half of the available work time of Nepali adults is underutilized. Eighty percent of the population depends for its livelihood on agriculture. And today youth dont want to see them in agricultural stuffs. The National Planning Commission estimates that 25.4 percent of Nepals people live below the poverty line, currently set as Rs. 13,328 per year per person. Looking at this current scenario of Nepal, Entrepreneurship is one of the best ways for Nepal for the economic growth and in minimizing the unemployment rate. . In Nepal, people lack an opportunity despite having good qualification, skills and ideas. But the crisis is the opportunity and unfavorable economic situation. People are now stepping ahead to become entrepreneur. But having the idea doesnt make anyone entrepreneur. Entrepreneurship includes investing capitals, ideas favorable for the business which should be suitable enough in the context of Nepal. Few entrepreneurs who have an idea dont have any investment plan and those who have all sorts of facilities to run the business dont have the constructive ideas and are unaware of business policies. So it can be well analyzed that there is a lack of balance between the potential and an opportunity. Beside this, there are also several issues which are faced by the youth of Nepal and which can be categorized in following sectors: High rate of Unemployment Less extent for self-employment Poor Practical education system Incompletion of formal education Involvement in antisocial activities including AIDS and drug addiction Unawareness in health care Imbalanced education and training Inadequate opportunities for participation in public decision-making Inadequate facilities for recreation and creative work Alcoholism and drug dependence Less knowledge about modern technology Inefficiency in IT Absence of conducive environment of sports and games Lack of sense of accountability and responsibility to family and society Moral degradation Less aware about their rightsEntrepreneurship drives economic growth in developing countries. Developing countries conceive entrepreneurship as an important element that plays a pivotal role in economic growth. Therefore, entrepreneurship should be encouraged, and fostered in transitional economies. Its high time that Nepalese youth are awaken and motivated of doing something for themselves which can alternatively be a path for the economic development of Nepal. At present in Nepal, it is very important and urgent to promote value addition activities though which trade deficit which is the major problem in the economy of Nepal, can be balanced and that can be possible only if the country support and promote entrepreneurial spirit of the youth who inspired to become an entrepreneur. There is an ongoing joke in Nepal, that if we produce a politician, we destroy 100 jobs. But if we create an entrepreneur, we create 100 jobs. On a serious note, this is why many youths should turn to entrepreneurship as the engine of their personal, professional and soulful growth. We need not look far to realize how entrepreneurship has transformed our neighbors, China and India. The problem in Nepal is seen as the opportunities for entrepreneurs. As an entrepreneur, creating not just one small business but over the course of time build it into a platform, so that others can build their own businesses around the the business which has been settled. Thamel became Thamel when businesses started to bloom, servicing around one Hotel, Kathmandu Guest house. Through this chain, it will be helping create opportunities for others too, by creating this as a by-product of building their ventures. As a result of an entrepreneur, an industry of like-minded entrepreneurs came into being. Do not under-estimate the power of entrepreneurship to change the world. Entrepreneurs build dignified jobs and professionals as their employees. Entrepreneurship is not about exploiting people. It is about empowering people so that they help run their business better. Mr. Hari Bhakta Sharma is the living example of it who scaled his pharmaceuticals company Deurali Janata by successfully providing dignified employment and opportunity to work in a place which makes life-saving medicines at affordable prices for the poor.A well lot of area is covered as rural sector. But for entrepreneurs, place is not a concern. A few rural entrepreneurs from 'Magar' and 'Rai' communities have used the plant--Himalayan Nettle (Girardinia diversifolia), commonly known as Allo as a weaving thread for shawls, blankets, bags and clothes and this firm is known as Allo Enterprises. It has helped uplift the lives of above 1000 poor women, mostly from excluded communities in 20 districts, who are supported by at least 8,000 primary collectors of the plant all over thecountry. The per capita income of the new entrepreneurs who got involved in the Allo enterprise has increased by more than 47% in the last 10 years. According to the Handicraft Association of Nepal more than Rs. 4.8 million (US$ 65,753) worth of products made from Allo are exported annually to theinternational market which is approximately 3.3 percent of the total textile products exported.Positive culture in Nepal is essential if we want to create an economically equal, fair, accountable, responsible society. And as an entrepreneur, it will be helping us make this faster than any other professional. Another example fit for this is Prithivi Pande, current CEO of Nepal Investment Bank, was responsible for creating a positive culture trend in the Banking sector. Many of the current heads of financial institutions in Nepal have worked with him and followed his lead to be successful bankers themselves. In terms of technology, Nepal is also stepping ahead in a good pace. People are able to access internet easily from anywhere which has also created a lot of opportunity as business ideas. Internet has made a life effortless due to Ecommerce and E-business. Mr Bal Krishna Sharma, a founder of Thamel.com is one of the successful of entrepreneur of Kathmandu who was intellectual enough to enhance his idea in IT field. Thamel.com os an internet e-commerce portal that sells goods online enabling expatriate Nepalis to purchase gifts, which are then delivered in Nepal by the staff of thamel.com, including goats during the annual Dashain festival. There is no doubt that there are enough potential for entrepreneurs in Nepalese market. An opportunity comes with the problems. There is a need to align youth economic empowerment to government policies, strategies and programs. Financial support, training and facilities need to be provided in order to ensure young peoples active participation in decision-making, and development activities and programs. Favorable environment need to be created and retained to increase investment in relevant training matching with job market and self-emp0loyment. Promotion of entrepreneurship among young women and men for the provision of better information on market opportunities, training in business skills, access to capital (credit and other financial services) mentoring by qualified persons, and other business support services.Looking at the present state of affair, Nepalese youth are returning back from abroad and starting their business with the money which they saved abroad and this is the encouraging sign for the nation and this show enough reason that potential and opportunities do exists for young entrepreneurs in Nepal.

Amit Pathak 14325 || MBA 3rd