An entrepreneur is an enterprising individual who builds capital through risk and/or initiative. The true spirit of entrepreneurship is providing solutions to the problems and needs of humanity! The number of people embracing entrepreneurship as a vocation has sprouted up in the last few years. Many people are becoming entrepreneurs with the aim of following their passion of doing something good to the Indian society. This new drive is sequentially leading to the overall development of the Indian society. At the present, a widely accepted fact is that energetic and excited entrepreneurs only can look at the potentials of the country’s scope for resources such as labour, capital and technology.
One of the recent approaches to the Indian economic growth is the development of entrepreneurial activities. Entrepreneurial efforts have been found to create a broad array of economic benefits, together with new businesses, new jobs, new products and services, and increased assets for investment in future. The Government of India in company with different public sector banks are coming up with a lot of plans, particularly for up-and-coming entrepreneurs, thus motivating them to take up entrepreneurship. Small and Medium Enterprise (SME) loans with eye-catching interest rates are offered by almost all major banks across India. The significant role played by the entrepreneurs in the economic development of advanced countries has made the people of developing and under developed countries aware of the importance of entrepreneurship for economic development.
Economic development of a country is aided by entrepreneurship in the following ways:
Unemployment is a chronic problem of underdeveloped countries. Entrepreneurs generate large-scale employment to the unemployed. An entrepreneur creates self employment and offers jobs to million others by starting many industrial units they offer jobs to millions. Entrepreneurship is certainly the best way to fight the evil of unemployment. In this way, entrepreneurs play an effective role in reducing poverty in the country which in turn aids in economic development of the nation.
Fair regional development
Entrepreneurs are usually forced to set up industries in smaller towns far from big cities in view of the increasing competition in the cities. The growth of industries and businesses in the smaller towns lead to a large number of public benefits in those areas like transportation, health, education and entertainment. Thereby entrepreneurs promote regional development.
Increase in National income
Entrepreneurs always keep their eyes open for opportunities. They explore and utilize opportunities, make effective resource mobilization of capital and skill, raise new goods and services and develop markets for growth of the economy. The goods and services produced are for consumption within the country and to meet the demand of exports. Thus the national income is increased and increase in national income is certainly a sign of economic growth.
Reduction in concentration of economic power
Economic power is the normal outcome of industrial and business activity. Industrial development normally may lead to concentration of economic power in the hands of a few individuals which results in the growth of monopolies. To rectify this problem, a large number of entrepreneurs need to be developed, who will help in dispersing the economic power amongst the population.
Betterment in Standard of Living
Improvement in the standard of living of the people is a quality feature of economic development of the country. Entrepreneurs play a key role in increasing the standard of living of the people by taking on newest innovations in the manufacture of goods and services at lower price. This allows the people to get better quality goods at lower costs which results in the betterment of their standard of living.
Further, to retain the entrepreneurial approach to economic growth, India must now provide opportunities for education directed specifically at entrepreneurial skills. Financing of entrepreneurial efforts and networking among potential entrepreneurs must also be aided by the Government. Though the Indian Government offers policies encouraging the entrepreneurial efforts, the Government’s overall role should be lessened so that the authority of the free market and individual self-interest can be appreciated.
Here are a few entrepreneurs and companies who actually defined new businesses/products and shaped India:
Jamsetji Tata (1839- 1904)
Founder of the Tata group, this entrepreneur from Gujarat is honoured by many as the father of Indian industry. The multi billion company we see today had its first phase in a trading firm started by J N Tata in 1869 with an initial capital of Rs 21,000.
Dhirajlal Hirachand Ambani (Dhirubhai Ambani) (1932 – 2002)
Dhirubhai Ambani was an Indian rags-to-riches business tycoon who founded Reliance Industries in Mumbai with his cousin. From a poor worker in the fifties to one of the country’s largest megacorp, Ambani’s journey to the pinnacle was at flashing speed.
Verghese Kurien (1921 - 2012)
Verghese Kurien, born at Kozhikode, Kerala was the founder of the Gujarat Co-operative Milk Marketing Federation (GCMMF) that manages the Amul food brand. He was recognised as the man behind the success of the Amul brand. He helped modernise the Anand model of cooperative dairy development and thus engineered the White Revolution in India, and made India the largest milk producer in the world.
N. R. Narayana Murthy (1946)
A co-founder of Infosys, N. R. Narayana Murthy isthe man who is often attributed for much of India’s IT revolution. He left no stone unturned to put Bangalore on the global map and make India a soft power. Infosys, the company he co-founded in 1981 with Rs 10,000 in capital is now a $7 billion company and also the second largest software exporter from India.
Above mentioned are the names of a few entrepreneurs who have hit the glamour circuit. There are many other entrepreneurs and companies whochanged the face of India, but are being talked about in low tones, in rare columns and in rarer features.
Entrepreneurship is about working towards what one truly loves and cares about. Let us celebrate the spirit of entrepreneurship, keep the fire alive and strive hard to change the economic face of our country.