According to a New Poll from Gallup India lags behind other Asian countries in promoting Entrepreneurship.
Gallup created a framework for Entrepreneurial ecosystem based on human capital, role of government and individual entrepreneurial traits.
Based on the latest Gallup World Poll results from March 2012,
- 16% of Indian adults report that they currently own a business.
- Of those, 22% say they formally registered their business.
In terms of business size, half of business owners report working alone, and 47% have hired five or fewer employees.
The key barrier to current and aspiring entrepreneurs is the lack of a favorable support system. The analysis based on the Gallup framework shows that India ranked in the bottom quartile particularly on external factors such as government support, culture, social capital, and access to training.
By contrast, intrinsic factors — such as entrepreneurial talents and attitudes — ranked much higher than external factors in enabling support for aspiring entrepreneurs. Improved external factors may help unlock more of the Indian population’s natural entrepreneurial potential.
Indians are Not Risk Takers
More than 60% of the Indian population possesses personality traits that are critical for success as an entrepreneur — such as business thinking (69%), optimism (66%), and persistence (65%) — which suggests a wealth of entrepreneurial capacity.
However, willingness to take the risk of running a business is not a common trait among a majority of Indians.
Yesterday following question was posted in Fanpage.
- Option 1: Job after BE with 3 lakhs job offer package.
- Option 2: Start a business with 3 lakhs investment.
What will be your pick and why?
Lets look at some of the answers.
Well i will better do pg(ms,mtech or me), if any one of this then 1 as the package will increase but buisness is risky one..
Depends what’s the nature and scope of the business first I ll analyze their financial reports if not risky then definitely bzns otherwise
i would better do Job for a couple of years and then do a study abroad and then work for some more years and then will think about doing business. The probability of making 3 lakh the first year of the 3 lakh investment is very low at the same time the probability of loosing the 3 lakh is very high. Moreover i personally don’t think 3 lakh investment for a good business is enough*.
Job for minimum 3 years in relevant field for gaining experience and then business….I think experience is necessary for starting a business
I would prefer business if I fail then I will go for job . Bcoz we have to take risks when there is age So,business 🙂
As the poll results suggest, work risk, risky was also used by couple of folks.
Lack of Support
Starting a business is USA is very simple. It takes less than 30 minutes of work to submit the paper work and you your business is ready to roll.
It costs like $200 to register a simple business entity online.
But, according to the poll –
- It is not easy to start a business in India.
- 46% of Indians say the government makes it hard to start a business.
- Nearly 3 in 10 (29%) aspirational entrepreneurs who plan to start their business in the next 12 months agree they have access to the money they need.
Indian Entrepreneurs need more access to mentorship and training.
In the article – Why Not Blogging as Career in India shows folks lack awareness that blogging can lead to a great lifestyle.
Poll also states that Indians have the potential. With good support system more small business will flourish.
Don’t you think, colleges should business courses?
Even couple of courses for Engineering students in busioenss ca open world of possibilities.
Also, parents should encourage their kids to and help them cultivate entrepreneurial thoughts.
I haven’t seen any parent who looks for an school for their son and daughter, where business and entrepreneurship skills are taught.
There are few folks who posted comments like “I would prefer business if I fail then I will go for job . Bcoz we have to take risks when there is age So,business :)”
But, do you think words will turn into actions? 1000’s can actually post a comment, but how many do you think will actually take business route after completing college degree?
If you are looking for motivation then read this – Why Your Goals are Not Bigger and SMARTer.
So, do you agree to this?
Willingness to take the risk of running a business is not a common trait among a majority of Indians.