The present day need of india- startups

The modern world is changing and advancing at a brisk rate like never before,
technological developments and the internet world has made it more competitive
and sophisticated at the same time. Now, if we talk about India, we have a
population of 1.35 billion and the Indian economy has a GDP of US$2.726 trillion
and the GDP is growing at a fast pace as well, we have a large number of people
and a large number of problems like overpopulation, pollution, unemployment,
lack of education, backward agriculture and we do have the capabilities and
minds that can help solve those problems ,that’s exactly what the startups do,
they can help India in solving the problems of the people and make their lives
easier. India needs innovative solutions for the problems like sanitation, public
transportation, waste management, healthcare and many of her problems.

Indian startup ecosystem has evolved dynamically over the

last decade or two, we get to see daily updates about different startups getting
various rounds of funding’s and we get to see the Indian startups joining the
unicorn startup club, the Indian market is capable of offering an abundance of
opportunities for startups. More than 50 percent of the Indian population is
below 25 hence these demographics of the population are also advantageous to
the Indian startup sphere. India’s huge diversity in culture, language, ethnicity and
religion has proved to be both a curse and a blessing for startups, blessing
because this diversity opens up the gates for more local startups that can fulfill
the needs of the local market and it’s a curse in a way that the startup has
problem in operating in the whole country.

We have a great need to make a shift in our mindset, the

youth should focus on becoming job creator instead of a job seeker, this shift will
somehow help to bring the widespread unemployment down. Youth needs to
work with passion, curiosity and problem-solving approach. The Indian startup
space is moving in the right direction the need is to increase its pace and help it
compete with the international developments. More than 1200 startups came up
in 2018 alone, out of which 8 were unicorns and the total number of startups in
India has reached to 7200 plus, but we need to grow at a much faster rate if we
see the size of our problems and the urgency to solve those problems.

There are a lot of hurdles that the curtailing the

growth of the Indian startups, yes, we are able to develop and start world class
startups but we are not able to run for a longer period, in the year 2016 alone
more then 200 startups shut their shops. The Indian startups are not able to
capture the first mover advantage and there is a lack of innovation among the
Indian startups, they are not able to raise enough funds and there is a shortage of
venture capitalists in Indian market to fund these startups , the Indian investors
are very conservative in funding the new startups as the risk associated with them
is more if we compare it to the traditional investment options. Complex
regulatory environment also curtails the setting up and developments of the
startups.

Conclusion – regulatory framework needs to be eased for the setting and

development of the startups in the country, the government should start more
campaigns like startup india and the government should also help the deserving
startups in raising capital for its incorporation and working, youth needs to
change their mindset and instead of becoming risk averse they should try taking
risk and to do something for the society and the country as a whole, education
system should also focus on making students more and more competitive and
innovative, the government should also provide concessions in the form of
subsidies and tax reliefs. If India wants to be the global leader in every aspect it
needs to bend its policies and strategies towards helping new business ventures
and to create an environment that is helpful in nourishing of the new
entrepreneurs and new startups.

BY – Kunal Luthra

MBA GENERAL (2.0)

ROLL No. 307