Himachal Pradesh National Law University

NAME -- Nishchay Dutt

COURSE -- B.B.A.-LLB (4th Semester)

SUBJECT -- Entrepreneurship Development

Roll No. -- 1120171825

Submitted to - Ms. Esha Bhagra & Mr. Praveen Kumar

The topic of Assignment - Role of various Entrepreneurship Development

Programs and various Institutions in

Entrepreneurship development Management.

INTRODUCTION
Entrepreneurship is the process of designing, launching and running a new business, which is
often initially a small business. The people who create these businesses are called
entrepreneurs.

Entrepreneurship has been described as the "capacity and willingness to develop, organize and
manage a business venture along with any of its risks in order to make a profit." ] While
definitions of entrepreneurship typically focus on the launching and running of businesses, due to
the high risks involved in launching a start-up, a significant proportion of start-up businesses
have to close due to "lack of funding, bad business decisions, an economic crisis, lack of market
demand, or a combination of all of these."

The word 'Entrepreneur' originates from the French term 'Entreprendre' which means a person,
who undertakes the task of bringing together various resources such as money, materials and
people and manages them to achieve desired results and takes some share ' In any new venture an
entrepreneur has to face certain risks and the profit he gets is the reward for risk bearing In short
we can say that The person who set-up his business is called an entrepreneur. The output of the
process, that is, the business unit is called an enterprise. Entrepreneurs are not just bom, they can
be developed and trained to undertake ventures. However, everybody does not have the potential
to become an entrepreneur. Entrepreneurial development is essentially an educational process
and an endeavour in human resource development. It is a process in which persons are injected
with motivational drives of achievement and situations especially in business/enterprise
undertakings. In many developing countries and especially in certain backward areas of these
countries, the socio-economic environment has not been conducive to the emergence of
entrepreneurial talents.Entrepreneurship involves the performance of various functions like
seeking investment and production opportunity, organising an enterprise to undertake a new
production process, raising capital, hiring labour, arranging the supply of raw materials, finding
site, introducing new techniques and commodities, discovering new sources of raw materials and

selecting top managers for day to day operations of the enterprise

Concept of Entrepreneurship Development:

Entrepreneurship Development means developing entrepreneurial ability in the people. In other

words, policing the entrepreneurial skills in the people, so they can successfully run the
enterprise. Thus, the concept of entrepreneurship development program involves equipping a
person with the required skills and knowledge needed for starting and running the enterprise.

National Institute of Small Industry Extension Training (NISIET), Hyderabad defined EDP as
“an attempt to develop a person an entrepreneur through structural training

The main purpose of such entrepreneurship development program is to widen the base of
entrepreneurship by development achievement motivation and entrepreneurial skills among the
less privileged sections of the society.

A class of entrepreneurs is a must for the economic and industrial development of the country.
To some extent, entrepreneurs are born but not totally. Those who have decided to become
entrepreneurs must have a basic understanding, visionary power, sense of value, risk-taking
capacity, innovative nature, etc. as basic qualities. But nowadays one can be developed as per
his/her requirement. They can be motivated and developed to undertake entrepreneurial
activities. Someone has rightly said that "Self-development is the best development”. There are
so many means, facilities, supportive institutions, tools, etc. that can be used to motivate and
develop entrepreneurs. To create an idea for business, to develop and assess the idea accordingly,
to collect the information of idea, to start the business, to organise and manage it and to make
decisions for all these and to bear risk and to remain creative and innovative, etc. are the
functions/ activities of the present day entrepreneurs. To do all these one has to develop the so-
called person. ED is an organized and systematic development. It is a tool of industrialization
and a solution to the unemployment problem for any country. The objective of entrepreneurial
development is to motivate a person for an entrepreneurial career and to make him capable of
perceiving and exploiting successfully opportunities for business enterprises. One trained
entrepreneur can guide others on how to start their own business and approach various
institutions for help, assistance, and counseling related to business functions. Trained
entrepreneurs become catalysts of developing industry and economic growth and progress.

What is entrepreneurship development programme ?

Entrepreneurship development programme is a programme where the individuals are trained to

face business uncertainties and risks.
EDP may be defined as “a programme designed to help an individual in strengthening his
entrepreneurial motive and in acquiring skills and capabilities necessary for playing his 1
entrepreneurial role effectively

It provides proper education, training and orientation to the entrepreneurs. This programme aims
to sharpen the knowledge , vision , planning , organization , coordination and dynamism of the
entrepreneurs. This programme is mainly designed to prepare the young entrepreneurs to
strengthen their entire motive and skill to give a good command over their jobs.

EDP has been also recognized as an effective HRD tool. An EDP is a training-cum-counselling
programme. It takes care of all the constraints and therefore it is proved to be one of the most
effective tools for developing new entrepreneurs. In a global business a layman can’t become an
effective entrepreneur and run a business. He must be with a specific vision and mission.
Following are critical constraints which prevent potential entrepreneur whether men or women
from becoming actual entrepreneurs.

NEED AND IMPORTANCE OF ENTREPRENEURSHIP DEVELOPMENT

PROGRAMME:

EDP’s play an important role in the economic and industrial development of any country
whether developed or developing. It is a comprehensive and effective human resource
development programme which helps in developing analytical ability, outlook, and
farsightedness, increasing the motivation, knowledge and skill and last but not the least gives
confidence to face and solve variety of problem boldly.

The need and importance of EDP’s can be understood as under:

1. Employment opportunities EDP’s motivate people to establish their own business and make
them capable of self employment. This not only provides employment to new entrepreneurs but
they also create employment opportunities for others. In India also many welfare and
development programmes have been started. Prominent among these programmes are
Pradhanmantri Rojgar Yojna, Jawahar Rojgar Yojna, Rashtriya Gramin Rojgar Yojna etc.
2. Formation of capital EDP’s help in capital formation which is very necessary for economic
development of the country. An entrepreneur uses his financial resources for the establishment
and development of the enterprise. He brings mobility in the savings of the people. In this
direction many financial institutions like ICICI, IDBI, SIDBI etc. also provide financial
assistance which further help in growth and formation of capital.

3. Formulations of projects EDP’s help in structuring or formulation of projects. These

programmes provide necessary information related to projects like plant, machinery, equipment,
raw material, selecting land and sites, labour resources, financial resources etc.

4. Balanced Regional Growth Developing nations face problems of unbalanced regional growth.
On one hand there are states like Punjab, Maharashtra, Rajasthan, etc., where economic progress
is very fast, on the other hand states like Bihar, Uttar Pradesh, Orissa etc. which are far behind as
far as economic growth is concerned. EDP’s help to establish small scale units in such areas
thereby stop centralization of capital. Various state governments also give several concessions
and subsidies which help in balanced regional growth in the country.

5. Development of entrepreneurial qualities All entrepreneurial qualities do not come on their

own in entrepreneurs. There are certain qualities which an entrepreneur possesses by inheritance
like loyalty, hard work etc., whereas other qualities like analytical ability and farsightedness can
be enhanced or developed through EDP’s.

Entrepreneurship Development Institute of India (EDII):

The Entrepreneurship Development Institute of India (EDII), a wholly autonomous and non-
profit Institution, set up in 1983, is sponsored by apex financial institutions, the Industrial
Development Bank of India (IDBI), the Industrial Finance Corporation of India (IFCI), the
Industrial Credit and Investment Corporation of India (ICICI) and the State Bank of India
(SBI). The Government of Gujarat pledged twenty-three acres of land on which stands the
majestic and sprawling EDI campus. The EDI has been spreading entrepreneurship
 movement throughout the nation. EDI has a belief that entrepreneurs can be developed
through a well-conceived and well directed activities. The objectives/mission of the EDI are :

● To augment the supply of trained entrepreneurs through training.

● To produce multiplier effect on opportunities for self employment
● To improve managerial capabilities of small scale entrepreneurs
● To contribute to the dispersal of business ownership and thus expand the social base of
Indian entrepreneurial class. :
● To contribute to the creation and dissemination of new knowledge and insight in
entrepreneurial theory and practice through research.
● To augment the supply of trainer - motivators for entrepreneurship development.
● To sensitize the support environment to facilitate potential as well as existing
entrepreneurs establish and manage their enterprises.
● To promote micro enterprises at a rural level.
● To inculcate the spirit of “entrepreneurship” in youth

Institute/Organisation helping in Entrepreneurship Development:

There are many institute and organizations in India which are promoting Entrepreneurship
Development Programme. So, for the purpose of this project, I choose 2 Institute which is
promoting Entrepreneurship Development.

THE NATIONAL INSTITUTE FOR ENTREPRENEURSHIP AND SMALL BUSINESS

DEVELOPMENT (NIESBUD):

NIESBUD is an apex body for coordinating and overseeing the activities of various institutions
and agencies engaged in entrepreneurship development particularly in the area of small-scale
industry.

OBJECTIVES:

The main objectives of the institute are

 ● To accelerate the process of entrepreneurship development throughout the country and
among all segments of the Society.
● To help institutions/agencies in carrying out activities relating to entrepreneurship
development.
● To evolve the standardized process of selection, training support and sustenance to
potential entrepreneurs enabling them to set up and run their enterprises successfully.
● To provide information support to trainers, promoters, and entrepreneurs by organizing
documentation and research work relevant to entrepreneurship development.
FUNCTIONS:

The main functions of the Institute are as follows:

● Evolving effective training, strategy and methodology.

● Formulating scientific selection procedure.
● Standardizing model syllabus for training for various groups.
● Developing training aids, manuals, and other tools.

NATIONAL ALLIANCE OF YOUNG ENTREPRENEURS (NAYE)

NAYE has arranged several schemes of entrepreneurial development in collaboration with public
sector banks such as Bank of India, Dene Bank, Punjab National Bank, Central Bank of India
and Union Bank of India The objectives of the schemes are the following:

● Help young entrepreneurs in identifying investment and self-employment opportunities.

● Secure proper arrangement for their training.
● Provide necessary financial assistance on the basis of projects reports
● Secure package of consultancy services.
● Arrange for getting assistance, facilities, and incentives extended to entrepreneurs by the
government and other institutions.

CONCLUSION:

EDI today is an acknowledged national resource institution committed to entrepreneurship

education, training and research, striving to provide innovative training techniques,
competent faculty support, teaching and training material, besides sharing benefits of in-
house research as well as experience in relevant spheres. EDI realized that such a gigantic
task can only be accomplished with collaborative efforts, so EDI has linkage with a
nationwide network of organisation and institutions committed to entrepreneurship
development.No doubt these programs have developed in India in recent years and proved
successful also but the expected success is not much. By implementation of some suggestions
explained earlier and by improving government machinery our country can also move
forward towards industrialization and economic progress through EDP’s.