Scribd Logo
Upload

Welcome to Scribd!

  • 73 views

    Why Promote Entrepreneurship in India

    Uploaded by

    Sushman Das
    Quotes studies by reputed organizations to illustrate need of entrepreneurs as creators of wealth and jobs.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as DOCX, PDF, TXT or read online from Scribd

    Why Promote Entrepreneurship in India

    Uploaded by

    Sushman Das
    73 views3 pages
    Quotes studies by reputed organizations to illustrate need of entrepreneurs as creators of wealth and jobs.

    Copyright

    © Attribution Non-Commercial (BY-NC)

    Available Formats

    DOCX, PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    Quotes studies by reputed organizations to illustrate need of entrepreneurs as creators of wealth and jobs.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    73 views3 pages

    Why Promote Entrepreneurship in India

    Uploaded by

    Sushman Das
    Quotes studies by reputed organizations to illustrate need of entrepreneurs as creators of wealth and jobs.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    of 3

    Entrepreneurs Will Help Grow Indian Economy: How?

    10. Promotes Capital Formation Entrepreneurs promote capital formationby mobilizing the idle savings of our citizens. They employ resources for setting up their enterprises. Such types of entrepreneurial activities lead to value addition and creation of wealth, which is very essential for the industrial and economic development of India. Within 20 years,the supply of capital might fall short of demand by $2.4 million. Source: : The Power of Many: Realizing the Socio-Economic Potential of entrepreneurs in the 21st century a 2011 study by McKinsey & Company.

    http://g20yes2011.files.wordpress.com/2011/10/the-power-of-many-mckinsey-report20110310.pdf
    9. Employment Generation Entrepreneurs provide instant large-scale employment to the unemployed which is an unending problem of India. Small entrepreneurs provide self employment to artisans, technically qualified persons and professionals. As these enterprises grow, they keep providing direct and indirect employment opportunities to many more. In this way, entrepreneurs clear the path towards economic development of our country. The Global Capital Confidence Barometer, a Ernst and Young study reports that the no of US company respondents in the Fortune 500 planning to create jobs around the world has decreased from 48% in April 2012 compared to only 32% in October 2012.In contrast, more than half (54%) of recent entrepreneurs who are thriving plan to increase their global workforce in 2013.

    http://www.ey.com/Publication/vwLUAssets/Global_Capital_Confidence_Barometer_Octobe r/$FILE/Global_Capital_Confidence_Barometer.pdf
    In the United States,100% of net new jobs between 1980 and 2005 were created by companies that were less than 5 years old. Source: : The Power of Many: Realizing the Socio-Economic Potential of entrepreneurs in the 21st century a 2011 study by McKinsey & Company.

    http://g20yes2011.files.wordpress.com/2011/10/the-power-of-many-mckinsey-report20110310.pdf
    8. Balanced Regional Development Entrepreneurs promote development of industries. They help to remove regional disparities by industrializing rural and backward areas. The growth of industries and business in these areas lead to a large number of public benefits like road transport, health, education, entertainment, etc. They help to reduce the problems of congestion, slums and populationin cities by providing employment and incomes to them. They help to improve the standard of living in suburban and rural areas. Data being searched.

    7. Reduces Concentration of Economic Power Industrial development normally leads to concentration of economic power in the hands of a few individuals which results in the growth of monopolies. Entrepreneurs contribute towards the development of society by reducing concentration of income and wealth. Data being searched. 6. Wealth Creation and Distribution It stimulates impartial redistribution of wealth and income in the interest of the country to more people and geographic areas, thus giving benefit to larger sections of the society. Entrepreneurial activities also ensure equitable distribution of income and wealthy by inculcating the spirit of entrepreneurship amongst people thereby providing them self employment with limited resources.

    SMEs account for 52% of GDP and 64% of employment on average (sample of 9 G20 countries taken in 2007) Source: The Power of Many: Realizing the Socio-Economic Potential of entrepreneurs in the 21st century a 2011 study by McKinsey & Company.

    http://g20yes2011.files.wordpress.com/2011/10/the-power-of-many-mckinsey-report20110310.pdf
    5. Increasing GDP and Per Capita Income Entrepreneurs are always looking out for opportunities. They encourage effective resource mobilisation of capital and skill, bring in new products and services and develops markets for growth of the economy. In this way, they help increasing gross national product as well as per capita income of the people in our nation.
    Comparing China and America, overall entrepreneurship rate in the US is 8.7% vs. 14.6% in China. Chinas policy of encouraging private investors to booster country growth has resulted in it possessing the third greatest economy in the world, it represents 8% of world GDP, while the US still represents 25% of the overall economy. This is down from 46 % just after World War II.Annual average GDP growth for China is nearly 10% the fastest growing economy in the world. Source:Small Business and Entrpreneurship Council,Vienna

    4. Improvement in the Standard of Living Entrepreneurs adopt latest innovations in the production of wide variety of goods and services in large scale that too at a lower cost. This enables the people to avail better quality goods at lower prices which results in the improvement of their standard of living. Data being searched.

    3. Promotes Country's Export Trade Entrepreneurs earn valuable foreign exchange through increased exports. They produce goods and services in large scale for the purpose earning huge amount of foreign exchange from export. This ensures economic independence and development.
    In Seizing Opportunities : Once-In-A-Lifetime Chance, a 2009 Ernst and Young Global Survey of mature multinationals and entrepreneur-led companies 67% of the entrepreneurs said they were focused on pursuing new market opportunities, compared to just 19% of the mature companies.

    2. Induces Backward and Forward Linkages Entrepreneurs work in an environment of changing technology and try to maximise profits by innovation. This induces backward and forward linkages which stimulate the process of economic development in the country. Data being searched. 1. Facilitates Overall Development Entrepreneurs act as catalytic agent for change which results in chain reaction. Once an enterprise is established, the process of industrialisation is set in motion. This unit will generate demand for various types of units required by it and there will be so many other units which require the output of this unit. This leads to overall development of an area due to increase in demand and setting up of more and more units. Data being searched.

    You might also like