Encouraging new businesses is a major concern of policy makers. Governments around the world recognize that
new businesses thrive in unique types of supporting environments, and policymakers should consider
scenarios and consider the following when developing policies and regulations to support a supporting ecosystem to successful entrepreneurship.
. Policymakers should avoid regulations that discourage new entrants and strive to create effective approaches for start-ups. Policies and regulations favor dominant incumbents over start-ups, limit competition, and discourage entry of new firms.
Policy makers need to engage
entrepreneurs and understand the challenges they face, rather than developing policies aimed conceptually at correcting market failures. Feedback should be used to develop policies that stimulate idea exploration, product development and increase transaction rates.
. Startup funders should create a database that identifies players in the ecosystem and how they are connected. These ecosystem maps are useful tools for developing engagement strategies.
Disruption of economic and social life is inevitable. It should be noted, however, that economic turmoil brings entrepreneurial opportunities. The architects of the entrepreneurial ecosystem (entrepreneurs, mentors, policy makers and consumers) must anticipate these recessions and thus capitalize on the opportunities they create.
An effective strategy is needed to sustain a local entrepreneurial support ecosystem to be viable. A better understanding of real ecosystems provides a framework within which policy makers can ask relevant questions, consider more effective approaches and evaluate results.
A snapshot of the Indian startup ecosystem
Entrepreneurship has gained new respect in India. Many Indians who would have traditionally chosen to work have been exposed to the business world and are now starting their own businesses. Many elements of the startup ecosystem are starting to come together.
For example, increasing venture capital investors, government programs and incubators, university-industry links and support for emerging clusters and rural economies. All of these are worthwhile initiatives, but the ecosystem needs to be expanded and enriched by:
1. We need to examine our attitudes to failure and use it as a learning experience.
2. We should encourage educated people to become entrepreneurs and provide entrepreneurial skills to students
in schools and colleges.
3. Universities, research labs and governments should play the role of facilitators in the entrepreneurial support ecosystem.
4. Policy makers need to focus on reducing barriers such as corruption, bureaucracy and bureaucracy.
We need to improve our legal system, attract international VCs and bring them to India.
6. We need to design policies and approaches to reach second and third tier villages in India where people do not have access to the same resources available in cities.
Today, the country has a huge opportunity to introduce innovative solutions that enable scale and collaboration within and enrich the ecosystem.
Make in India campaign
Every entrepreneur has specific needs.
Some of their great needs are:
. Easy loan
. Easy to find investors
. Get tax exemption
. Easy access to resources and good infrastructure
Enjoy a quick and easy procedure on
. Ability to easily collaborate with other businesses
Prime Minister Modi’s Make in India campaign aims to meet all these needs of young people to cater to budding
entrepreneurs. Its subject is:
. Investing made easy
. Support for new ideas
Improve skills development
. Maintenance entrepreneur ideas
. Build a high-tech product manufacturing plant
. Research existing markets, network with other entrepreneurs, investors in venture capitalists, angel investors and review current policies to promote your startup.
Failure is a stepping stone, not the end of the road. Review your mistakes and those of your peers and correct them
in your future adventures.
. Be proactive in your ecosystem, identify the key characteristics of your ecosystem and enrich it to ensure the autonomy of your entrepreneurial support ecosystem.
Risk Appetite and Resilience
Entrepreneurship and Risk
Entrepreneurs are born risk takers.
They are path makers, not path makers. Unlike the average cautious individual, the entrepreneur doesn’t hesitate to quit his job (his only income) and fight for himself and his ideas
The entrepreneur realizes that while he pursues his dreams , the assumptions may turn out to be wrong. can occur. He knows that after dealing with countless problems, success is still not guaranteed. Entrepreneurship is synonymous with the ability to take risks. Known as risk appetite, this ability is an entrepreneurial trait that is partly inherited and partly learned.
What is risk appetite?
Risk appetite is defined as the degree to which a company is willing to take risks in order to achieve its objectives. Essentially, it refers to the balance a company finds between the possible benefits and the dangers posed by changes in the environment (economic ecosystem, politics, etc.). Taking on more risk can lead to higher returns, but also a high probability of loss.
However, being overly conservative can be detrimental to the business as it may miss out on good growth opportunities and to achieve one’s goals one must evaluate all possible alternatives and choose the option most likely to succeed. Companies have different levels of risk appetite for different objectives. The level depends on:
. Action type
. Market pressure
• Business objectives
For example, a start-up with a revolutionary concept will have a very high risk appetite.
Startups can afford short-term failures before achieving long-term success. This type of appetite does not remain constant and will be adjusted based on current business circumstances
Risk appetite statement
A business should define and articulate its risk appetite in light of decisions about its objectives
and its opportunities. The purpose of a risk appetite statement is to have a framework that clearly articulates the
‘s acceptance and management of business risk. It sets the limits of risk taking within the business. A
risk appetite statement should contain the following information:
The nature of the risks incurred by the company.
. What risks the company can take and what risks are unacceptable.
. How much risk to accept in all risk categories.
.The ideal trade-off between risk and reward
. Risk measures and methods for investigating and regulating risk exposure
Entrepreneurship and resilience
Entrepreneurs have a set of characteristics called resilience. These characteristics play a particularly important role in the early stages of business development. Resilience is an extremely valuable trait believed to protect entrepreneurs from challenges and changes in the business environment.
What is entrepreneurial resilience?
Resilience is used to describe a person who has the ability to overcome setbacks in life and career
aspirations A resilient person is someone who recovers easily and quickly from setbacks. Resilience is a vital quality for entrepreneurs. Entrepreneurial resilience can be strengthened in the following ways.
. By developing a network of professional coaches and mentors
Change is part of life by accepting it
. Seeing obstacles as something that can be overcome
characteristics of a resilient entrepreneur.
The qualities needed to make an entrepreneur resilient enough to go through with his
. A keen sense of internal control
. Strong social ties
Ability to learn from setbacks
. Can see the big picture
. Abilities to diversify and expand
. Survivor attitude
. Habits of knowing cash flow
Attention to detail
. Cultivate a good network of customers, suppliers, peers, friends and family. This not only helps you promote your business, but also helps you learn, discover new opportunities, and keep up with market developments.
. Don’t dwell on setbacks.
Focus on what you need to do next to start over.
. While you should try to limit your spending, make sure it doesn’t come at the expense of your growth.
Success and Failure
Understanding Entrepreneurship Success and Failure
Shyam is a renowned entrepreneur known for his achievements. But what most people don’t know is that Shyam failed countless times before his entrepreneurial success.
Read his interview to find out what entrepreneurship really is, straight from a failed and successful entrepreneur.
Interviewer: Shyam, I’ve heard that entrepreneurs are great adventurers who dare to take risks and are never afraid of failure: Is that
Shyam: Hey, no, of course not. Most people think entrepreneurs need to be fearless and passionate. But the truth is, fear is a completely normal and valid human response, especially if you’re considering starting your own business! In fact, my biggest fear is the fear of failure.
The reality is that entrepreneurs fail as often as they succeed. The trick is not to let the fear of failure stop you from pursuing your plan. Remember that failures are lessons for future success!
Interviewer: According to you, what are the reasons for entrepreneurial failure?
Shyam: Well, there’s no single reason why entrepreneurs fail. Entrepreneurs can fail for several reasons. You can fail because you let the fear of failure get the better of you.
You can fail because you are willing to delegate (division of) work. As the saying goes, “You can do anything, but not everything. You can fail because you give up too easily, maybe you don’t persist enough. You can fail because you focus on small, insignificant tasks. End result.Other reasons it fails is associating with the wrong people, not selling your product to the right customer at the right price at the right time and many more reasons!
Interviewer: As entrepreneur, what do you think?
Shyam: I think we should all see failure as an asset rather than a negative thing. In your mind, if you have an idea, you should try to make it work, even if you have the potential to fail. This is because it is by no means a failure! Failure is not something that usually happens. Think about regretting not trying, and ask yourself what could be worse than trying and failing.
Reporter: How did you feel when you first failed?
Shyam: My heart is completely broken! It was a very traumatic experience. But the good news is that you recovered the
from the failure. With each subsequent failure, the recovery process becomes easier. This is because you begin to see each
failure more as a lesson that will eventually help you succeed rather than an obstacle that you cannot overcome.
You will begin to realize that failure has many benefits.
Interviewer: Can you tell us about the benefits of failure?
Shyam: One of the benefits I have personally gained from failure is that it makes me see things in a new light. He gave me answers that I didn’t have before. Failure can make you stronger and can also damage your self-esteem.
Interviewer: What advice do you have for entrepreneurs who are about to start their own business?
Shyams: I would tell them to do their research and make sure their product is something their customers really want. I would tell them to choose their partners and employees very wisely and carefully, and I would tell them that it is important to be aggressive and market your product as aggressively as possible. I want to remind them that starting a business is very expensive and they have to be prepared for a situation where they run out of money.
I would tell them to set a long term goal and put a plan into action to achieve that goal. I would tell them to make the
a truly unique product.
Be very careful to make sure you don’t copy another startup. Finally, I want to tell them that finding the right investors is very important.
Interviewer: This is very helpful advice, Shivam! I believe this will help all entrepreneurs be more
ready before embarking on their journey! Thanks for your insight!
. Remember, nothing is impossible.
. Identify your mission and purpose before you begin
. Plan your next steps – don’t make hasty decisions.