CEC-2: Entrepreneurship Development

Course Type: Core Elective Courses (CEC) Course Code: CEC-2

Unit Content Hr.

No.
Entrepreneurship: Concept of Entrepreneur. Intrapreneur, Entrepreneurship and
Manager. Difference between Entrepreneur and Intrapreneur, Entrepreneur and
Entrepreneurship. Attributes and Characteristics of successful entrepreneurs.
Functions of an Entrepreneur, Classification of Entrepreneurs. Role of
Entrepreneur in Indian Economy, developing entrepreneurial culture, Factors
influencing Entrepreneurship Growth - Economic, Non-Economic Factors, for
profit or Not for profit entrepreneurs, Constraints for the Growth of
1 6
Entrepreneurial Culture, Entrepreneurship as a career, Entrepreneurship as a style
of management, Emerging Models of Corporate Entrepreneurship, India’s start up
revolution–Trends, Imperatives, benefits; the players involved in the ecosystem,
Business Incubators-Rural entrepreneurship, social entrepreneurship, women
entrepreneurs, Cases of Tata, Birlas, Kirloskar and new generation entrepreneurs
in India.

Theories of entrepreneurship: Innovation Theory by Schumpeter & Imitating,

Theory of High Achievement by McClelland, X-Efficiency Theory by
2 Leibenstein, Theory of Profit by Knight, Theory of Social change by Everett 6
Hagen.

Entrepreneurship development: Entrepreneurial Competencies, Developing

Competencies. Concept of entrepreneurship development, Entrepreneur Training
and developing, Role of Entrepreneur Development Programs (EDP), Role of
DIC, SISI , EDII , NIESBUD, NEDB, EDP - Objectives – contents – methods -
3 execution. Role of Mentors. Innovation and Entrepreneurship, Design Thinking 8
Process. Role of consultancy organizations in promoting Entrepreneurs,
Problems and difficulties of Entrepreneurs - Marketing Finance, Human
Resource, Production; Research - external problems, Mobility of
Entrepreneurs,
Entrepreneurial change, occupational mobility - factors in mobility.
Chapter 1: -
a. Entrepreneurship: Concept of Entrepreneur.
b. Intrapreneur, Entrepreneurship and Manager.
c. Difference between Entrepreneur and Intrapreneur, Entrepreneur
and Entrepreneurship. Attributes and Characteristics of successful
entrepreneurs.
d. Functions of an Entrepreneur, Classification of Entrepreneurs. Role of
Entrepreneur in Indian Economy, developing Entrepreneurial culture
e. Factors influencing Entrepreneurship Growth - Economic, Non-Economic
Factors, for profit or not for profit entrepreneurs, Constraints for the
Growth of Entrepreneurial Culture
f. Entrepreneurship as a career, Entrepreneurship as a style of management,
Emerging Models of Corporate Entrepreneurship,
g. India’s start up revolution–Trends, Imperatives, benefits; the players
involved in the ecosystem, Business Incubators-Rural entrepreneurship,
social entrepreneurship, women entrepreneurs,
h. Cases of Tata, Birla’s, Kirloskar and new generation entrepreneurs in India.
Compiled by: - Raghunandan R. Shrivas
School of Management Studies
G H Raisoni Amravati University
a. Entrepreneurship: Concept of
Entrepreneur Concept of Entrepreneurship
Entrepreneurship is the ability and readiness to develop, organize and run a business
enterprise, along with any of its uncertainties in order to make a profit. The most prominent
example of entrepreneurship is the starting of new businesses.
Entrepreneurship connected with land, labour, natural resources and capital can
generate a profit. The entrepreneurial vision is defined by discovery and risk-taking and is an
indispensable part of a nation’s capacity to succeed in an ever-changing and more
competitive global marketplace.
Meaning:
The entrepreneur is defined as someone who has the ability and desire to establish,
administer and succeed in a startup venture along with risk entitled to it, to make profits. The
best example of entrepreneurship is the starting of a new business venture. The entrepreneurs
are often known as a source of new ideas or innovators, and bring new ideas in the market by
replacing old with a new invention.
It can be classified into small or home business to multinational companies. In
economics, the profits that an entrepreneur makes is with a combination of land, natural
resources, labour and capital.
In a nutshell, anyone who has the will and determination to start a new company and
deals with all the risks that go with it can become an Entrepreneur.

b. Intrapreneur, Entrepreneurship and

Manager Intrapreneur:
An intrapreneur is an employee with entrepreneurial skills and is responsible for
developing innovative ideas, products, or services for their company. Their goal is to enhance
the sustainability of the business and help it stay ahead in the competition.
The employer provides such passionate job crafters, also known as inside entrepreneurs, the
resources and capabilities needed to complete the project. Intrapreneurs also get the freedom
and flexibility to work without worrying about the risks or rewards. Part of their task involves
exploring company policies, analyzing market trends, and making changes to or introducing
new concepts.
Intrapreneurship is simply entrepreneurship in an existing organization.
In many ways, intrapreneurship is easier for an individual than entrepreneurship because it
has the support of an existing organization. However, there are both facilitators and barriers
to intrapreneurship. Now that we’ve defined the term, let’s consider how to create an
innovative organizational culture that advances intrapreneurship.
An organization that is consistently innovative will be dynamic and will attract creative
people. It will have a stimulating environment that will be viewed as a great place to work.
And if a company is growing it will provide new opportunities for its employees.
Unfortunately, there is a natural tendency in established organizations to preserve the status
quo. This is understandable because change can be threatening. However, any organization
that does not change will not adapt to new demands and environmental threats. This is
sometimes referred to as “organizational Darwinism,” and organizations that don’t respond to
changes in the environment do not survive. For-profit companies must be profitable or they
will be replaced by ones that are.
Intrapreneurship makes growth possible by making change acceptable. Without it,
organizations will invariably go into decline over time.
The Difference Between an Entrepreneur and an Intrapreneur
The main difference between an entrepreneur vs. intrapreneur is that an entrepreneur starts
their own company, whereas an intrapreneur works at a company that someone else founded.
An entrepreneur develops a concept for a new business, which may include marketing
products and services (or occasionally both). The entrepreneur must then create a viable
business plan, secure venture financing, hire a leadership team and employees, secure
premises (often, but not always) and market the business.
In contrast, an intrapreneur is an employee at an established company who has an
entrepreneurial mindset. In other words, they embrace innovation, such as thinking of new
products or services that can further the company’s growth objectives. An intrapreneur might
spearhead a major new initiative, for example, and possibly be in charge of their own team.
Virtually any type of employee could be an intrapreneur — from a salesperson to the chief
financial officer (CFO). At some companies, intrapreneurship is actively encouraged through
the establishment of innovation labs, also known as idea labs. These may also be called think-
tank groups within a larger organization that are granted greater autonomy to pursue their
own initiatives.
Entrepreneur vs. Intrapreneur: What Are the Similarities?
Although there are considerable differences between an entrepreneur and an intrapreneur,
there are also quite a few similarities. Both of these professionals embrace the entrepreneurial
mindset. They are constantly thinking of ways to solve real-world problems through new or
improved products or services.
While there are certainly exceptions, both entrepreneurs and intrapreneurs may exhibit the
following character traits and skills:
1. Creativity
2. Out-of-the-box thinking
3. Desire to improve products or services, and solve real-world problems
4. Leadership abilities
5. Adaptability in an ever-changing business environment
6. Passion for continuous, lifelong learning
Some professionals who work as successful intrapreneurs may later decide to become
entrepreneurs. Their real-world experience as intrapreneurs can serve them well as they adjust
to developing and managing their own companies.
Entrepreneurship
Entrepreneurship is the ability and readiness to develop, organize and run a business
enterprise, along with any of its uncertainties in order to make a profit. The most prominent
example of entrepreneurship is the starting of new businesses.
In economics, entrepreneurship connected with land, labour, natural resources and capital can
generate a profit. The entrepreneurial vision is defined by discovery and risk-taking and is an
indispensable part of a nation’s capacity to succeed in an ever-changing and more
competitive global marketplace.
Meaning:
The entrepreneur is defined as someone who has the ability and desire to establish, administer
and succeed in a startup venture along with risk entitled to it, to make profits. The best
example of entrepreneurship is the starting of a new business venture. The entrepreneurs are
often known as a source of new ideas or innovators, and bring new ideas in the market by
replacing old with a new invention.
It can be classified into small or home business to multinational companies. In economics,
the profits that an entrepreneur makes is with a combination of land, natural resources, labour
and capital.
In a nutshell, anyone who has the will and determination to start a new company and deals
with all the risks that go with it can become an entrepreneur.

Characteristics of Entrepreneurship:
Not all entrepreneurs are successful; there are definite characteristics that make
entrepreneurship successful. A few of them are mentioned below:
1. Ability to take a risk- Starting any new venture involves a considerable amount of
failure risk. Therefore, an entrepreneur needs to be courageous and able to evaluate
and take risks, which is an essential part of being an entrepreneur.
2. Innovation- It should be highly innovative to generate new ideas, start a company and
earn profits out of it. Change can be the launching of a new product that is new to the
market or a process that does the same thing but in a more efficient and economical
way.
3. Visionary and Leadership quality- To be successful, the entrepreneur should have a
clear vision of his new venture. However, to turn the idea into reality, a lot of
resources and employees are required. Here, leadership quality is paramount because
leaders impart and guide their employees towards the right path of success.
4. Open-Minded- In a business, every circumstance can be an opportunity and used for
the benefit of a company. For example, Paytm recognised the gravity of
demonetization and acknowledged the need for online transactions would be more, so
it utilised the situation and expanded massively during this time.
5. Flexible- An entrepreneur should be flexible and open to change according to the
situation. To be on the top, a businessperson should be equipped to embrace change in
a product and service, as and when needed.
6. Know your Product-A company owner should know the product offerings and also be
aware of the latest trend in the market. It is essential to know if the available product
or service meets the demands of the current market, or whether it is time to tweak it a
little. Being able to be accountable and then alter as needed is a vital part of
entrepreneurship.

Manager
Managers are responsible for the administration and management of a group of people
a department of the company. Their day-to-day job is to manage employees and ensure the
smooth running of the organisation. They must possess similar qualities of an entrepreneur,
like accountability, leadership, decisiveness, etc. They must also have qualities such as
empathy and warmth. They may direct supervisors who will command workers or directly
command workers. They are responsible for supervising subordinates, who report to and work
under them.
Example: A manager is the head of a department in a company, such as a director or a team
leader, who administers the group of people under him/her and ensures the company runs
smoothly.er is a person who manages the functions and operations of an organisation.
A manager is an individual who is responsible for planning, organizing, directing, and
controlling the activities of a group of individuals or an organization to achieve specific goals
and objectives. A manager's role typically involves overseeing the work of employees, setting
goals and objectives, developing strategies and plans, delegating tasks, and ensuring that
resources are utilized effectively and efficiently. A manager may also be responsible for
hiring and training employees, evaluating their performance, and making decisions that
impact the organization's success. Effective managers possess a range of skills, including
leadership, communication, problem-solving, and decision-making.
The significant difference between an entrepreneur and a manager is their role in an organisation.
An entrepreneur owns a company, while a manager is the company employee. An entrepreneur is
a risk taker who takes financial risks for the enterprise. A manager does not take risks and
tries to maintain the status quo of the enterprise.
Difference between Entrepreneur and Manager

The difference between an entrepreneur and a manager are as follows: An

entrepreneur and a manager are two different persons in a company/organisation. While
managers are concerned with managing the available resources, entrepreneurs focus on
capitalising on opportunities.
Particulars Entrepreneur Manager

Meaning It refers to persons who establish a They are individuals responsible for

company or enterprise and takes a administering and controlling a group of

financial risk to get profits. people in the company or enterprise.

Position in They are visionaries who convert an idea They are the employees of the company.
the into a business. They are the owners of
Company the company.

Focus They focus on business startups. They focus on ongoing operations.

Risk They bear all financial and other risks. They do not bear any risks.

Focus They focus on starting the business and They focus on the daily smooth functioning of

expanding the company. the company.

Motivation Their key motivation is the achievements Their motivation comes from the power that

of the company. comes with the position.

Reward Their reward is the profit they earn from Their reward is the salary they draw from the

the company. company.

Approach They can be casual in their role and have Their approach to every problem is formal, and

an informal approach. they take a scientific approach.

Nature of They are risk-takers. They take They are risk-averse. Their job is to maintain
decisions calculated risks to drive the company. the status quo of the company.
Decision The decisions tend to be intuitive. The decisions are calculative.

making

Specialisati They do not need to be specialised in They are trained to perform tasks and are

on any particular trade. specialists in their domain.

d. Difference between Entrepreneur and Intrapreneur, Entrepreneur and

Entrepreneurship. Attributes and Characteristics of successful entrepreneurs.
Difference between Entrepreneur and Intrapreneur

Points of Intrapreneurship Entrepreneurship

difference

Definition Intrapreneurship is the entrepreneurship Entrepreneurship is the dynamic process

within an existing organization. of creating incremental wealth.

Core objective To increase the competitive strength To innovate something new of socio-
and market sustainability of the economic value.
organization.

Primary Enhance the rewarding capacity of the Innovation, financial gain tad
motives organization and autonomy. independence.

Activity Direct participation, which is more than Direct and total participation in the
a delegation of authority. process of innovation. _

Risk Hears moderate risk. Bears all types of risk.

Status Organizational employees expecting The free and sovereign person doesn’t
freedom at work. bother with status.
Failure and Keep risky projects secret unless it is Recognizes mistakes and failures to take
mistakes prepared due to high concern for failure new innovative efforts.
and mistakes.

Decisions Collaborative decisions to execute Independent decisions to execute dreams.

dreams.

Whom serves Organization and intrapreneur himself. Customers and entrepreneur himself.

Family May not have or a little professional Professional or small business family
heritage post. heritage.

Relationship Authority structure delineates the A basic relationship based on interaction

with others relation. and negotiation.

Entrepreneur and Entrepreneurship

Difference Between Entrepreneur and

Entrepreneurship

An entrepreneur is someone who locates the need of society and tries to meet the
same, with his/her innovative idea. On the other hand, ‘entrepreneurship’ which refers to
the process of establishing a business entity, intending to get profit, as a return in the future.
You might have heard the names like Bill Gates, Jeff Bezos, Steve Jobs, Mark Zuckerberg,
Larry Page, Jack Ma and many more, for their innovative and unique products given by them
to the society. They are not businessmen, rather they are entrepreneurs as they have
established
a business, to offer an innovative product and took the risk in the hope of getting profit, as a
return in future.

The differences between entrepreneur and entrepreneurship, is elaborated as follows: -

BASIS FOR ENTREPRENEUR ENTREPRENEURSHIP

COMPARISON
Meaning An entrepreneur is an individual Entrepreneurship is a risky activity of
or a team thereof, having an commencing a business usually a start up
innovative idea, and takes every company, offering distinct products and
step to turn the idea into reality, services to the target customers, which
while bearing the risks. may or may not get success.
What is it? Person who has an idea and Process which gives shape to the idea.
gives shape to it.
Represents An innovator, who chased the A procedure through which an
dream, till it becomes true. innovation is done.
Business Venture He/She is the one who sets up It is the activity, which an entrepreneur
the business venture, to turn a undertakes to set up the business venture.
concept into reality.

Attributes and Characteristics of a Successful Entrepreneur

1) Creativity
2) Professionalism
3) Risk-taking
4) Passion
5) Planning
6) Knowledge
7) Social Skills
8) Open-mindedness towards learning, people, and even failure
9) Empathy
10) The customer is everything

Here are the Characteristics of An Entrepreneur that one must nurture:

1) Creativity:
Creativity gives birth to something new. For without creativity, there is no innovation
possible. Entrepreneurs usually have the knack to pin down a lot of ideas and act on them.
Not necessarily every idea might be a hit. But the experience obtained is gold.
Creativity helps in coming up with new solutions for the problems at hand and allows one to
think of solutions that are out of the box. It also gives an entrepreneur the ability to devise
new products for similar markets to the ones he’s currently playing in.

2) Professionalism:
Professionalism is a quality which all good entrepreneurs must possess. An
entrepreneur’s mannerisms and behavior with their employees and clientele goes a long way
in developing the culture of the organization.
Along with professionalism comes reliability and discipline. Self-discipline enables an
entrepreneur to achieve their targets, be organized and set an example for everyone.
Reliability results in trust and for most ventures, trust in the entrepreneur is what keeps the
people in the organization motivated and willing to put in their best. Professionalism is one of
the most important characteristics of an entrepreneur.

3) Risk-taking:
A risk-taking ability is essential for an entrepreneur. Without the will to explore the
unknown, one cannot discover something unique. And this uniqueness might make all the
difference. Risk-taking involves a lot of things. Using unorthodox methods is also a risk.
Investing in ideas, nobody else believes in but you is a risk too.
Entrepreneurs have a differentiated approach towards risks. Good entrepreneurs are always
ready to invest their time and money. But they always have a backup for every risk they take.
For exploring in the unknown, one must be bestowed with a trump card; a good entrepreneur
has one, always. Also, evaluation of the risk to be undertaken is also essential. Without
knowing the consequences, a good entrepreneur wouldn’t risk it all.

4) Passion:
Passion acts as a driving force, with which, you are motivated to strive for better.It
also allows you the ability to put in those extra hours in the office which can or may make a
difference. At the beginning of every entrepreneurial venture or any venture, there are hurdles
but your passion ensures that you are able to overcome these roadblocks and forge ahead
towards your goal.

5) Planning:
This is the most important of all steps required to run a show. Without planning,
everything would be a loose string as they say, “If you fail to plan, you plan to fail.”
Planning is strategizing the whole game ahead of time. It basically sums up all the resources at
hand and enables you to come up with a structure and a thought process for how to reach
your goal.
The next step involves how to make optimum use of these resources, to weave the cloth of
success. Facing a situation or a crisis with a plan is always better. It provides guidelines with
minimum to no damage incurred to a business. Planning is one of the most important
characteristics of an entrepreneur.

6) Knowledge:
Knowledge is the key to success. An entrepreneur should possess complete knowledge
of his niche or industry. For only with knowledge can a difficulty be solved or a crisis is
tackled.
It enables him to keep track of the developments and the constantly changing requirements of the
market that he is in. May it is a new trend in the market or an advancement in technology or
even a new advertiser’s entry, an entrepreneur should keep himself abreast of it. Knowledge
is the guiding force when it comes leaving the competition behind. New bits and pieces of
information may just prove as useful as a newly devised strategy.
He should know what his strengths & weaknesses are so that they can be worked on and can
result in a healthier organization.
A good entrepreneur will always try to increase his knowledge, which is why he is always a
learner. The better an entrepreneur knows his playground, the easier he can play in it.

7) Social Skills:
skillset is an arsenal with which an entrepreneur makes his business work. Social Skills are also
needed to be a good entrepreneur. Overall, these make up the qualities required for an
entrepreneur to function.
Social Skills involve the following:
Relationship Building Hiring
and Talent Sourcing Team
Strategy Formulation And
many more.

8) Open-mindedness towards learning, people, and even failure:

An entrepreneur must be accepting. The true realization of which scenario or event
can be a useful opportunity is necessary. To recognize such openings, an open-minded
attitude is required.
An entrepreneur should be determined. He should face his losses with a positive attitude and his
wins, humbly. Any good businessman will know not to frown on a defeat. Try till you
succeed is the right mentality. Failure is a step or a way which didn’t work according to the
plan. A good entrepreneur takes the experience of this setback and works even hard with the
next goal in line.
Learning with an open mind lets you look at your faults humbly. New information always makes
an entrepreneur question his current resolve. It also provides a new perspective towards a
particular aspect. Open-mindedness also enables you to know and learn from your
competition.

9) Empathy:
The least discussed value in the world today is empathy or having high emotional
intelligence. Empathy is the understanding of what goes on in someone’s mind. This a skill
that is worth a mention. A good entrepreneur should know the strengths and weaknesses of
every employee who works under him. You must understand that it is the people who make
the business tick! You’ve got to deploy empathy towards your people.
Unhappy employees are not determined and as an entrepreneur, it is up to you to create a
working environment where people are happy to come. To look after their well-being, an
entrepreneur should try to understand the situation of employees. What can be a motivational
factor? How can I make my employees want to give their best? All this is understood through
empathy.
Keeping a workplace light and happy is essential. For without empathy, an entrepreneur cannot
reach the hearts of employees nor the success he desires. Empathy is one of the most
important characteristics of an entrepreneur.

10) And lastly, the customer is everything:

A good entrepreneur will always know this; a business is all about the customer. How
you grab a customer’s attention is the first step. This can be done through various mediums
such as marketing and advertising.
It is also important that you know the needs of your customers. The product or service which is
being created by your organization needs to cater to the needs of your consumers.
Personalising a business for consumers will also boost the sales.
d. Functions of an Entrepreneur, Classification of Entrepreneurs. Role of
Entrepreneur in Indian Economy, developing Entrepreneurial culture
Functions of an Entrepreneur
The following points highlight the top five functions of an entrepreneur. The
functions are: 1. Decision Making 2. Management Control 3. Division of Income 4. Risk-
Taking and Uncertainty-Bearing 5. Innovation.
Function 1. Decision Making:
The primary task of an entrepreneur is to decide the policy of production. An
entrepreneur is to determine what to produce, how much to produce, how to produce, where
to produce, how to sell and’ so forth. Moreover, he is to decide the scale of production and
the proportion in which he combines the different factors he employs. In brief, he is to make
vital business decisions relating to the purchase of productive factors and to the sale of the
finished goods or services.
Function 2. Management Control:
Earlier writers used to consider the manage-ment control one of the chief functions of
the entrepreneur. Management and control of the business are conducted by the entrepreneur
himself. So, the latter must possess a high degree of management ability to select the right
type of persons to work with him. But, the importance of this function has declined, as
business nowadays is managed more and more by paid man-agers.
Function 3. Division of Income:
The next major function of the entrepreneur is to make necessary arrangement for the
division of total income among the different factors of production employed by him. Even if
there is a loss in the business, he is to pay rent, interest, wages and other contractual incomes
out of the realised sale proceeds.
Function 4. Risk-Taking and Uncertainty-Bearing:
Risk-taking is perhaps the most important function of an entrepreneur. Modern
production is very risky as an entrepreneur is required to produce goods or services in
antici-pation of their future demand.
Broadly, there are two kinds of risk which he has to face. Firstly, there are some risks, such as
risks of fire, loss of goods in transit, theft, etc., which can be insured against. These are
known as measurable and insurable risks. Secondly, some risks, however, cannot be insured
against because their probability cannot be calculated accurately. These constitute what is
called uncertainty (e.g., competitive risk, technical risk, etc.). The entrepreneur undertakes
both these risks in production.
Function 5. Innovation:
Another distinguishing function of the entrepreneur, as emphasised by Schumpeter, is
to make frequent inventions — invention of new products, new techniques and discovering
new markets — to improve his competitive position, and to increase earnings.
Conclusion:
The above description indicates the supreme position of the entrepreneur in an organisation.
This is particularly true in the capitalistic or even mixed economy which is based on the
price- profit system. In the socialistic economy, the state becomes the entrepreneur; the scope
of private entrepreneur is extremely limited in such an economy.

Classification of Entrepreneurs
Based on their working relationship with the business environment they are
functioning in, various types of entrepreneurs can be found. The chief categories are these
four types of entrepreneurs, i.e.
Important Classification of Entrepreneurs

CLASSIFICATION OF ENTREPRENEURS ACCORDING TO THE TYPE OF

BUSINESS
According to the type of business, entrepreneurs shall be classified as Business
Entrepreneurs, Trading Entrepreneurs, Industrial Entrepreneurs, Corporate Entrepreneurs,
Agricultural Entrepreneurs, Retail Entrepreneurs, Service Entrepreneurs and Social
Entrepreneurs.

Types of Entrepreneurs
1. BUSINESS ENTREPRENEURS
Business entrepreneurs we those who conceive an idea to for a new product or service
and then create a business to convert their ideas into reality. These entrepreneurs may be
found in small business units or big enterprises. They concentrate both on production and
marketing activities. Example: A Printing Press, bakery or a textile unit.

2. TRADING ENTREPRENEURS
Trading Entrepreneurs are those who undertake trading activities. These entrepreneurs
do not concentrate on manufacturing activities. They give more emphasis on distribution and
marketing of goods. They identify potential markets, create demand for the product and
influence people to buy the product. Example: Agents and Wholesalers.

3. INDUSTRIAL ENTREPRENEURS
Industrial Entrepreneurs are those who concentrate in industrial and production
activities. They identifies the needs of the customers and manufacture a product according to
their needs. They are generally a product-Oriented entrepreneur. Example: A manufacturer of
Automobile spare parts, computer accessories.

4. CORPORATE ENTREPRENEUR
Corporate entrepreneurs are those who exhibit innovative skills in organizing and
managing corporate undertaking. Example: A Trust registered under the Trust Act.

5. AGRICULTURAL ENTREPRENEUR
An agricultural entrepreneur is one who concentrates on agricultural activities. These
entrepreneurs concentrate on activities like raising agricultural production, marketing of
fertilizers etc.

6. RETAIL ENTREPRENEURS
Retail entrepreneurs are those who undertake trading activities. They have direct
contact with customers and hence they are customer oriented. Example: An entrepreneur
running a departmental store

7. SERVICE ENTREPRENEUR
A service entrepreneur is one who provides services to customers. They make profit
by rendering services. Example: An entrepreneur running a hotel or dry-cleaning unit.

8. SOCIAL ENTREPRENEUR
A social entrepreneur is one who provides importance to the society by serving them.
He concentrates on social issues and does not aim to make profit. Example: A person running
an orphanage.

CLASSIFICATION OF ENTREPRENEUR ACCORDING TO THE STAGES OF

DEVELOPMENT
According to the Stages of development, entrepreneurs shall be classified as First-
Generation Entrepreneurs, Modern or Innovative Entrepreneurs, Classical Entrepreneurs and
Inherited Entrepreneurs

1. FIRST GENERATION ENTREPRENEUR

A first-generation entrepreneur is one who sets up an enterprise by his innovative
skill. He combines various factors of production and provides marketable product or services
by adopting innovative ideas. He is the first person to start an enterprise on his own. Though
such a person may have the family background of some business, such entrepreneurs may
also establish a certain business which may be unrelated to their family business.

2. MODERN ENTREPRENEURS OR INNOVATIVE ENTREPRENEURS

A modern entrepreneur is a dynamic entrepreneur. He always looks for changes and
responds to the changing demand of the market. His business ventures suits the current
marketing needs.

3. CLASSICAL ENTREPRENEUR
Classical entrepreneur is a stereo type entrepreneur. He aims at maximizing profits at
a consistent level. There may or may not be an element of growth. Survival of the firm is
given more importance by these entrepreneurs.

4. INHERITED ENTREPRENEURS
These entrepreneurs have inherited family business or possess experience from their
family business. These entrepreneurs may like to diversify a little from their family business.
CLASSIFICATION OF ENTREPRENEURS ACCORDING TO MOTIVATIONAL
ASPECTS
According to motivational aspects, entrepreneurs shall be classified as Pure Entrepreneurs,
Induced Entrepreneurs, Motivated Entrepreneurs and Spontaneous Entrepreneurs.

1. PURE ENTREPRENEUR
A pure entrepreneur is a person who is motivated by psychological and economic factors.
Entrepreneurial task is undertaken by them due to certain reasons. Ability to handle risk,
desire to enjoy better status, desire to get recognition in the society, thirst for making money
motivates a person to take up entrepreneurial activities.

2. INDUCED ENTREPRENEUR
Induced entrepreneur are those who takes up entrepreneurial task due to the incentives and
subsides granted by the government. Financial and technical assistance provided by the
government motivates a person to start new ventures.

3. MOTIVATED ENTREPRENEUR
They are motivated by the desire far their self-fulfillment. They emerge because of the
possibility of producing and, selling new products. They are also motivated by economic
factors.

4. SPONTANEOUS ENTREPRENEUR
A person, turns out to be an entrepreneur, because of the natural talent vested in him. These
entrepreneurs have self confidence and emerge as challengers. They take up entrepreneurial
activity in order to tap their talents. They have great self confidence in their talent and are
highly resourceful.

CLASSIFICATION OF ENTREPRENEURS ACCORDING TO TECHNOLOGICAL

ASPECTS
According to Technical Aspects, Entrepreneurs shall be classified as Technical
Entrepreneurs, Non-Technical Entrepreneurs and Professional Entrepreneurs.

1. TECHNICAL ENTREPRENEUR
A technical entrepreneur is one who concentrates more on production activities. He has got
sound technical knowledge. He utilizes his technical knowledge and demonstrates his
innovative capabilities. He is also known as technocrat.

2. NON-TECHNICAL ENTREPRENEUR
A non-technical entrepreneur concentrates more on marketing activities. He tries to find out
new strategies for marketing goods. He also promotes his business by employing various
marketing methods.

3. PROFESSIONAL ENTREPRENEUR
Professional entrepreneur is a person who applies innovative ideas in setting up of a business.
He is interested in establishing the enterprises rather than managing it. Once the business is
established. the entrepreneur will sell the business to some one else.
CLASSIFICATION OF ENTREPRENEURS ACCORDING TO CLARENCE DANHOF
Clarence Danhof had classified entrepreneurs based on his study on American agriculture. He
classified entrepreneurs into four categories.

1. INNOVATIVE ENTREPRENEUR
An innovative entrepreneur is one who introduces new product, new service or new
market. An innovative entrepreneur is also known as modern entrepreneur. An innovative
entrepreneur can work only when a certain level of development is reached. These
entrepreneurs introduce new changes and develop the business after a certain level of
development is reached. They invent new products. Such kind of entrepreneurs can be seen in
developed countries, as large sum of money can be diverted towards research and
development purposes.

2. ADAPTIVE ENTREPRENEUR
Adaptive entrepreneur is one who adopts the successful innovations of innovative
entrepreneur. These entrepreneurs imitate the techniques and technologies innovated by
others. These entrepreneurs can be seen both in underdeveloped and developing countries.
They also make small changes in relevance to their market environment.

3. FABIAN ENTREPRENEUR
A fabian entrepreneur is one who responds to changes only when he is very clear that
failure to respond to changes would result in losses. Such entrepreneurs do not introduce new
changes. They also do not desire to adopt new methods. They are very shy and stick to old
customs. They are very cautious.

4. DRONE ENTREPRENEURS
These entrepreneurs do not make any changes. They refuse to utilize the opportunities
and may also suffer losses. They are very conventional. They refuse to introduce changes.
They even make losses but avoid changes. Sometimes they may be pushed out of the market.
Role of Entrepreneur in Indian Economy
Entrepreneurs play a crucial role in the Indian economy. They are responsible
for the creation of new businesses, jobs, and wealth. Here are some of the ways in which
entrepreneurs contribute to the Indian economy:

1. Contribution to the GDP

GDP is the monetary value of the final services and goods that are produced by an
economy in a particular time frame, which is usually a year. Entrepreneurs in the
economy provide these services and goods.
In a country like India, which is currently developing at a fast pace; the entrepreneurs
have a pivotal role to play to produce the right amount of services and goods to satisfy the
people's demands. In a situation where there were no entrepreneurs, the country would
only be dependent on imports and its multinational companies, which in turn would either
affect or even collapse the GDP. That's the reason why entrepreneurs are necessary to
generate GDP for the economy.

2. Foreign Exchange Earnings:

There are many Indian industries like the handloom industry that produce goods not
just to meet the local demands but also to export them. These goods are sold to foreign
countries, and this, in turn, lets the manufacturing country earn foreign exchange. This
again adds to the economic growth of any country.

3. Generates Employment:
When someone starts any new venture, then there is a need for various resources. This
also includes humans working for them. There are people recruited to perform different
kinds of functions in any organization. So entrepreneurs play a crucial role in the
economy of the nation, which is to generate employment.

4. Tax Generation:
When there is more employment created, this also leads to more taxes for the
government. Tax revenues are increased, which can be used by the government for the
improvement and the development of the country and to improve the standard of living of
its people.

5. Eradicating Poverty:
India is a highly labour-intensive country. This is because the country has a large
population. The entrepreneurs are capable of generating employment which in turn helps
the government as it brings down the unemployment number and thus poverty of the
nation. When there is more income, people too can afford better things.

6. Entrepreneurs Introduce New Technology:

Entrepreneurs have introduced many new technologies to the country’s economy.
These technological advancements uplift the country and are another reason why the
government helps entrepreneurs.
7. Entrepreneurs Help Other Industries in the Economy

The industries in the economy are interconnected. Some industries use the products of
other industries. This lets one generate more services and goods as well as more revenue
for the economy.
For example, flour is the finished product for a company that has its flour mill and
manufactures flour. However, the same flour now works as a raw material to produce
biscuits. One product or idea of an entrepreneur's business develops another product or
service, and this forms a chain.

8. Specific Tax Revenue:

The entrepreneurs pay direct and corporate taxes to the state government. Without this
tax, the state government cannot function. The entrepreneurs help to generate additional
taxes for the country.

9. Bringing in FDI

A lot of entrepreneurship startups are funded by companies in foreign countries. This

lets the economy bring in more foreign investments. The RBI helps these startups as it
relaxes the policies that it puts on the FDI.

All these points clearly explain the role of entrepreneurs in economic development. They
are a massive asset to the country. The functioning of the economy has a significant role
to play, depending on the existence of entrepreneurship.

There are many functions an entrepreneur fulfils in the economy. Entrepreneurship is

crucial to any society because it does not just generate profits for the entrepreneurs but
improves the living standards of the people of the country as it creates employment.
Entrepreneurship creates wealth for the country and also gives rise to many related
businesses. The entrepreneurs drive change because of innovation as they develop new
products and bring in new technologies that help the economy to grow as a whole.
Developing Entrepreneurial Culture
Developing an entrepreneurial culture is critical for fostering a economy and
encouraging innovation. Here are some notes on how to develop an entrepreneurial culture:

1. Education and Training: Education and training programs can help to create an
entrepreneurial mindset among individuals. This can be done through formal education
programs, workshops, seminars, and mentoring.

2. Government Support: The government can provide support through funding, tax incentives,
and regulations that are favorable to entrepreneurship. This can help entrepreneurs get
started and grow their businesses.

3. Networking Opportunities: Entrepreneurs need to be able to connect with others in their

industry, share ideas and collaborate on projects. Networking opportunities, such as
business incubators, co-working spaces, and industry associations can help to facilitate
this.

4. Access to Capital: Access to capital is essential for entrepreneurs to get their businesses
off the ground. This can be in the form of loans, grants, or equity investments. Creating a
favorable environment for investors is also important to attract investment.

5. Recognition and Celebration: Recognizing and celebrating the success of entrepreneurs

can help to promote an entrepreneurial culture. This can be done through awards,
competitions, and public events that showcase entrepreneurial achievements.

6. Risk-Taking: Finally, developing an entrepreneurial culture means encouraging risk-

taking and creativity. This involves challenging traditional thinking, embracing failure,
and encouraging innovation. By creating an environment that encourages risk-taking,
entrepreneurs are more likely to thrive and succeed.
5. Factors influencing Entrepreneurship Growth - Economic, Non-Economic
Factors, for profit or not for profit entrepreneurs, Constraints for the
Growth of Entrepreneurial Culture
Economic Factors influencing Entrepreneurship Growth
There are several economic factors that can influence entrepreneurship growth, including:

1. Access to Capital: One of the primary factors influencing entrepreneurship growth

is access to capital. Entrepreneurs often require funding to start and grow their
businesses, and the availability of capital can significantly impact their ability to
do so.

2. Economic Stability: Economic stability, including a strong and stable economy

and low inflation rates, can create an environment that is more conducive to
entrepreneurship. In contrast, an economic downturn or recession can create
barriers to entry and make it more difficult for entrepreneurs to start and grow
their businesses.

3. Government Policies: Government policies, such as tax incentives, regulatory

frameworks, and subsidies, can also influence entrepreneurship growth. Policies
that encourage entrepreneurship can create a supportive environment for startups
and small businesses, while policies that create barriers to entry or impose
excessive regulations can stifle growth.

4. Market Demand: Market demand for new products or services can also influence
entrepreneurship growth. Entrepreneurs often identify and create solutions to
unmet needs or gaps in the market, and a strong demand for these products or
services can drive growth in the entrepreneurial sector.

5. Technological Advancements: Technological advancements can also create

opportunities for entrepreneurship growth by enabling new business models,
opening up new markets, and reducing barriers to entry. For example, the rise of
the internet and e-commerce has created new opportunities for entrepreneurs to
start and grow online businesses.
Non-Economic Factors influencing Entrepreneurship Growth

In addition to economic factors, there are several non-economic factors that can
influence entrepreneurship growth, including:

1. Education and Skills: Education and skills play a critical role in entrepreneurship
growth. Entrepreneurs need to have the necessary knowledge and skills to start and
run a business successfully. Access to education and training programs can help
individuals develop the skills they need to become successful entrepreneurs.

2. Cultural and Social Norms: Cultural and social norms can also influence
entrepreneurship growth. In some cultures, entrepreneurship is highly valued, and
individuals are encouraged to start their own businesses. In contrast, in other cultures,
there may be a stigma associated with entrepreneurship or a preference for more
traditional career paths.

3. Networking and Mentoring: Networking and mentoring are also important non-
economic factors that can influence entrepreneurship growth. Access to a supportive
network of peers and mentors can provide entrepreneurs with the guidance and
support they need to succeed.

4. Regulatory and Legal Environment: The regulatory and legal environment can also
impact entrepreneurship growth. Policies and regulations that create barriers to entry
or impose excessive regulations can make it more difficult for entrepreneurs to start
and grow their businesses.

5. Entrepreneurial Ecosystem: Finally, the overall entrepreneurial ecosystem, including

the availability of resources such as incubators, accelerators, and co-working spaces,
can also impact entrepreneurship growth. An ecosystem that provides entrepreneurs
with the resources and support they need to start and grow their businesses can help to
stimulate entrepreneurship growth.

Not for profit entrepreneurs or Social Entrepreneurs

Not-for-profit entrepreneurship, also known as social entrepreneurship,
involves the creation of innovative solutions to social, cultural, or environmental
problems. Unlike traditional entrepreneurship, where the primary goal is to generate
profit, not-for-profit entrepreneurship focuses on creating social or environmental
impact.

Not-for-profit entrepreneurs are individuals who create and lead organizations

that aim to address social or environmental challenges. They may start non-profit
organizations, social enterprises, or other types of mission-driven businesses. Their
goal is to create sustainable solutions to social problems, rather than simply
generating profits.
Not-for-profit entrepreneurs face unique challenges, such as limited access to
funding and resources, as well as a complex regulatory and legal environment.
However, they also have access to a range of tools and resources, such as impact
investors, grants, and other funding sources, that are specifically designed to support
social entrepreneurship.

Not-for-profit entrepreneurs, also known as social entrepreneurs, share several

characteristics, including:

1. Mission-Driven: Not-for-profit entrepreneurs are motivated by a mission to create

social or environmental impact. They are passionate about solving a particular
social problem and work tirelessly to achieve their goals.

2. Innovative: Not-for-profit entrepreneurs are innovative and creative in their

approach to problem-solving. They use new and unconventional methods to
address social challenges and create positive change.

3. Resourceful: Not-for-profit entrepreneurs are resourceful and adept at finding

solutions to complex challenges. They often work with limited resources and find
ways to leverage their networks and partnerships to achieve their objectives.

4. Collaborative: Not-for-profit entrepreneurs recognize the importance of

collaboration and work closely with other organizations, stakeholders, and
community members to achieve their goals. They build partnerships and alliances
to amplify their impact and create meaningful change.

5. Adaptable: Not-for-profit entrepreneurs are adaptable and resilient. They are able
to pivot their strategies and adjust their approach in response to changing
circumstances and evolving challenges.

6. Impact-Oriented: Not-for-profit entrepreneurs are focused on creating social or

environmental impact. They measure their success based on the outcomes they
achieve, rather than solely on financial performance.

7. Ethical: Not-for-profit entrepreneurs are committed to ethical and responsible

business practices. They prioritize transparency, accountability, and social
responsibility in all aspects of their work.

Overall, not-for-profit entrepreneurs are driven by a deep sense of purpose and a

commitment to creating positive change in the world. They are passionate, innovative,
and resourceful leaders who use their skills and expertise to make a difference in their
communities and beyond.

Examples of not-for-profit entrepreneurship include organizations that address issues

such as poverty, access to education and healthcare, environmental sustainability, and
social justice. These organizations may use a variety of business models, such as
social
enterprises, cooperatives, or community-based organizations, to achieve their social or
environmental objectives.

Constraints for the Growth of Entrepreneurial Culture

There are several constraints that can limit the growth of entrepreneurial culture,
including:

1. Limited Access to Capital: One of the most significant constraints on

entrepreneurial culture is limited access to capital. Without adequate funding,
entrepreneurs may struggle to launch and grow their businesses. This can be
especially challenging for individuals from disadvantaged backgrounds or
those operating in industries with high start-up costs.

2. Regulatory Barriers: Regulatory barriers, such as complex licensing

requirements, can also limit the growth of entrepreneurial culture. These
barriers can make it difficult and expensive for entrepreneurs to start and
operate their businesses, particularly in heavily regulated industries.

3. Lack of Supportive Ecosystem: The lack of a supportive entrepreneurial

ecosystem can also limit the growth of entrepreneurial culture. Without access
to resources such as mentoring, networking, and incubation, entrepreneurs
may struggle to develop the skills and knowledge needed to succeed.

4. Cultural Attitudes: Cultural attitudes towards entrepreneurship can also be a

constraint. In some societies, entrepreneurship is not viewed as a viable career
path, and individuals may face pressure to pursue more traditional professions.
This can limit the number of people who are willing to take the risk and start
their own businesses.

5. Education and Skills: Limited access to education and training programs can
also limit the growth of entrepreneurial culture. Without the necessary skills
and knowledge, individuals may struggle to launch and grow successful
businesses.

6. Lack of Diversity: Lack of diversity can also be a constraint on entrepreneurial

culture. Women, minorities, and other underrepresented groups may face
additional barriers to entry and limited access to funding and resources.

Overall, addressing these constraints requires a concerted effort from policymakers,

industry leaders, and entrepreneurs themselves. Creating a supportive ecosystem,
increasing access to capital and education, and promoting cultural attitudes that
support entrepreneurship can help to foster a thriving entrepreneurial culture.
Entrepreneurship as a career:
Entrepreneurship is a career path that involves starting, managing, and growing your
own business. As an entrepreneur, you are the person responsible for taking an idea or a
vision and turning it into a successful and sustainable business venture. Entrepreneurship can
be both challenging and rewarding, as it requires creativity, innovation, perseverance, and
risk-taking.
If you are considering entrepreneurship as a career, here are some key aspects to keep in mind:
1. Passion and Vision: Successful entrepreneurs are often driven by their passion for a
particular idea, product, or service. Your vision and passion will serve as the
foundation of your business, and they will be the driving force behind your motivation
and determination to succeed.
2. Innovation and Creativity: Entrepreneurs need to be innovative and creative in order
to come up with unique solutions, products, or services that address a gap or need in
the market. Being able to think outside the box and constantly adapt to changing
market conditions is crucial for entrepreneurial success.
3. Risk Management: Entrepreneurship inherently involves taking risks, such as
investing your own capital, making strategic decisions, and navigating uncertainties.
Successful entrepreneurs are able to manage and mitigate risks effectively, by
conducting thorough market research, developing a robust business plan, and being
prepared to face setbacks and failures along the way.
4. Leadership and Management: As an entrepreneur, you will need to lead and manage
your team, as well as make decisions that impact your business's direction and
growth. Developing strong leadership and management skills, including
communication, delegation, and strategic planning, is essential for running a
successful business.
5. Financial Management: Understanding the financial aspects of your business,
including budgeting, financial forecasting, and cash flow management, is critical to
ensure your business's sustainability and profitability. Entrepreneurs need to be
financially savvy and make informed decisions regarding pricing, revenue streams,
and investment opportunities.
6. Networking and Relationships: Building a strong network and establishing
relationships with customers, suppliers, investors, and other stakeholders is important
for an entrepreneur's success. Networking can help you gain valuable insights, access
resources, and create partnerships that can benefit your business in the long run.
7. Resilience and Perseverance: Entrepreneurship can be challenging and involves
overcoming obstacles, setbacks, and failures. Being resilient and persevering through
tough times is crucial for entrepreneurs, as it takes time, effort, and persistence to
build a successful business.
8. Continuous Learning: The entrepreneurial journey is a continuous learning process.
Staying updated with industry trends, market dynamics, and technological
advancements is crucial to adapt and evolve your business. Being open to learning,
seeking feedback, and continuously improving your skills and knowledge is essential for
entrepreneurial success.
Entrepreneurship can be a rewarding career path that offers freedom, flexibility, and the
opportunity to create something meaningful. However, it also requires hard work, dedication,
and a willingness to take risks. If you are passionate about your idea and willing to put in the
effort, entrepreneurship can be a fulfilling and rewarding career choice.

Entrepreneurship as a style of Management

Entrepreneurship as a style of management refers to an approach where managers or

leaders within an organization adopt entrepreneurial principles and practices to drive
innovation, growth, and change. It involves fostering an entrepreneurial mindset and culture
within the organization, encouraging creativity, risk-taking, and a proactive approach to
problem-solving. This management style emphasizes agility, adaptability, and a willingness
to embrace change in order to seize opportunities and stay competitive in a dynamic business
environment.
Here are some key aspects of entrepreneurship as a style of management:
1. Innovation and Creativity: Entrepreneurial management encourages and rewards
innovative thinking and creative problem-solving. It involves creating an environment
that encourages employees to generate and implement new ideas, experiment with
new approaches, and challenge the status quo. This fosters a culture of continuous
improvement and innovation within the organization.
2. Vision and Strategic Thinking: Entrepreneurial managers have a clear vision for their
organization and develop strategic plans to achieve their goals. They have a long-term
perspective and are able to identify and pursue new business opportunities that align
with their vision. They also possess strategic thinking skills to analyze market trends,
assess risks, and make informed decisions to drive the organization forward.
3. Risk-Taking and Decision Making: Entrepreneurial management involves taking
calculated risks and making timely decisions. It encourages managers to be proactive
and bold in seizing opportunities, even if they involve uncertainties or risks. It also
recognizes that failures are inevitable and encourages a mindset of learning from
failures and using them as stepping stones to success.
4. Empowerment and Delegation: Entrepreneurial managers empower their employees
by delegating authority and decision-making to them. They trust their team members
and provide them with the autonomy and resources to take ownership of their work,
make decisions, and contribute to the success of the organization. This fosters a
culture of ownership, accountability, and engagement.
5. Flexibility and Adaptability: Entrepreneurial management requires flexibility and
adaptability to respond to changes in the business environment. It involves being agile
and open to new ideas, being willing to pivot and change direction when needed, and
being proactive in identifying and capitalizing on emerging opportunities.
6. Customer-Centric Approach: Entrepreneurial management emphasizes a customer-
centric approach, where the needs and preferences of customers are at the forefront of
decision-making. It involves understanding customer needs, anticipating market
trends, and delivering value-added solutions that meet or exceed customer
expectations.
7. Learning Orientation: Entrepreneurial managers are constantly learning and
encouraging a culture of continuous learning within the organization. They seek
feedback, embrace new knowledge and technologies, and encourage their team
members to learn and grow. This helps the organization stay relevant and competitive
in a rapidly changing business landscape.
Entrepreneurial management can lead to a dynamic and innovative organizational culture that
encourages creativity, adaptability, and growth. It can foster a sense of ownership and
empowerment among employees, and enable organizations to thrive in a competitive business
environment. However, it also requires effective leadership, strategic thinking, and a
willingness to embrace change and take risks.
Emerging Models of Corporate Entrepreneurship
Corporate entrepreneurship, also known as intrapreneurship, refers to the practice of
fostering entrepreneurial activities within an established organization. It involves creating an
environment that encourages employees to innovate, take risks, and develop new ideas and
projects to drive growth and competitiveness. Emerging models of corporate
entrepreneurship have been evolving in recent years, reflecting the changing business
landscape and the need for organizations to adapt to disruptive technologies, shifting
consumer preferences, and dynamic market conditions. Here are some examples of emerging
models of corporate entrepreneurship:
1. Open Innovation: In this model, organizations collaborate with external partners, such
as startups, universities, research institutions, and customers, to access new ideas,
technologies, and markets. Open innovation involves actively seeking external inputs,
co-creating solutions, and leveraging external expertise and resources to drive
innovation and growth.
2. Intrapreneurial Incubators and Accelerators: Organizations create internal incubators
or accelerators, which are dedicated units or programs designed to support employees
in developing and launching new ventures within the organization. These incubators
or accelerators provide resources, mentorship, and a supportive environment for
employees to test and scale their entrepreneurial ideas.
3. Corporate Venture Capital (CVC): In this model, organizations invest in external
startups or early-stage ventures to gain access to new technologies, markets, and
business models. Corporate venture capital involves strategic investments in startups
that align with the organization's strategic objectives, and can provide opportunities
for learning, experimentation, and potential acquisition or partnership opportunities.
4. Entrepreneurial Ecosystems: Organizations create or participate in entrepreneurial
ecosystems, which are networks of organizations, individuals, and resources that
foster entrepreneurship and innovation in a particular region or industry. These
ecosystems provide support through mentorship, funding, networking, and knowledge
sharing, and can help organizations stay at the forefront of innovation.
5. Corporate Hackathons and Innovation Challenges: Organizations organize internal
hackathons or innovation challenges, where employees are encouraged to collaborate
across departments or teams to develop innovative solutions to specific business
challenges. These events provide a structured framework for employees to come up
with new ideas, prototype solutions, and pitch them to management for potential
implementation.
6. Intrapreneurial Networks: Organizations create internal networks or communities of
employees who are passionate about entrepreneurship and innovation. These networks
provide a platform for employees to share ideas, collaborate on projects, and learn
from
each other. They may also have dedicated resources and support from senior management
to develop and implement entrepreneurial initiatives.
7. Agile and Lean Startup Approaches: Organizations adopt agile and lean startup
methodologies, which are entrepreneurial approaches to managing projects and
innovation. These methodologies emphasize rapid iteration, experimentation, and
customer feedback to quickly develop and test new ideas, and are particularly suited
for fast-paced, uncertain environments.
These are just a few examples of emerging models of corporate entrepreneurship. The key is to
create an organizational culture that encourages and supports entrepreneurial activities,
provides the necessary resources and incentives, and fosters collaboration and innovation
across the organization. Successful implementation of these models can help organizations
stay competitive, drive growth, and adapt to changing market conditions.

India’s start up revolution–Trends, Imperatives, benefits; the players involved in the ecosystem
India has been experiencing a significant start-up revolution in recent years, with a
burgeoning ecosystem of entrepreneurs, investors, and supporting stakeholders. Several
trends, imperatives, and benefits are driving this start-up revolution in India, and various
players are involved in shaping and nurturing the ecosystem. Let's take a closer look:
Trends:
1. Increasing Internet Penetration: With the increasing availability of affordable
smartphones and internet connectivity, there has been a massive surge in internet
usage in India. This has created a favorable environment for start-ups, as it has
resulted in a large consumer base and increased demand for online services across
various sectors.
2. Youthful Demographic: India has a young and dynamic population, with a significant
portion of its demographic being under the age of 35. This young population is highly
educated, tech-savvy, and ambitious, with a strong appetite for entrepreneurship and
innovation.
3. Government Support: The Indian government has taken several initiatives to promote
entrepreneurship and innovation, such as the "Start-up India" campaign launched in
2016. These initiatives include funding support, tax benefits, simplified regulations,
and other policy measures to foster a conducive environment for start-ups.
Imperatives:
1. Addressing Unmet Needs: Start-ups in India are addressing unmet needs across
various sectors, such as e-commerce, fintech, healthtech, edtech, agritech, and more.
They are leveraging technology to provide innovative solutions to long-standing
problems, creating value for consumers and businesses alike.
2. Job Creation: Start-ups in India are playing a significant role in generating
employment opportunities, particularly for the growing youth population. They are
not only creating
direct job opportunities but also indirect employment through their supply chains and
service networks.
Benefits:
1. Economic Growth: The start-up ecosystem in India is contributing to the country's
economic growth by driving innovation, creating jobs, and generating revenue. Start-
ups are also attracting foreign investments, leading to increased foreign capital
inflows and boosting India's position as a global investment destination.
2. Innovation and Disruption: Start-ups in India are bringing disruptive ideas and
technologies to various sectors, challenging traditional business models and driving
innovation. They are introducing new products, services, and business processes,
which are transforming industries and driving overall progress.
Players involved in the ecosystem:
1. Start-ups: Entrepreneurs and start-up founders are at the core of the ecosystem. They
ideate, develop, and implement innovative solutions to address market gaps, and drive
growth through their entrepreneurial ventures.
2. Investors: Angel investors, venture capitalists, and private equity firms play a crucial
role in the Indian start-up ecosystem by providing funding, mentorship, and expertise
to start-ups. They help fuel the growth of start-ups by providing the necessary capital
for expansion and scalability.
3. Incubators and Accelerators: Incubators and accelerators provide support to start-ups
in the form of mentorship, resources, and networking opportunities. They help start-
ups refine their business models, develop their products or services, and accelerate
their growth.
4. Government: The Indian government has been actively supporting the start-up
ecosystem through various policy measures, funding schemes, and regulatory reforms.
These initiatives aim to create a conducive environment for start-ups to thrive and
contribute to the country's economic growth.
5. Corporates: Large corporations are also actively participating in the Indian start-up
ecosystem through corporate venture capital, innovation partnerships, and mentorship
programs. They provide funding, expertise, and market access to start-ups, and often
collaborate with them to foster innovation and drive business growth.
6. Supportive Institutions: Various institutions, such as academic institutions, research
centres, industry associations, and non-profit organizations, also play a role in
supporting the start-up ecosystem in India. They provide resources, networks, and
expertise to help start-ups in their early stages. These institutions often offer
incubation programs, mentoring, and access to research and development facilities.
7. Customers and Users: Customers and users of start-up products or services are also an
essential part of the ecosystem. They provide feedback, validation, and market
demand
for start-up solutions. Their support and adoption of start-up products or services are
crucial for the success and growth of start-ups.
8. Talent: A skilled and talented workforce is critical for the success of start-ups. India's
start-up ecosystem thrives on the availability of skilled talent in various domains such
as technology, marketing, finance, operations, and more. Talented individuals
contribute to the growth and innovation of start-ups by bringing their expertise and
skills to the table.
Overall, these players collectively contribute to the growth and success of the
start-up ecosystem in India. Their collaborative efforts create a conducive
environment for entrepreneurship, innovation, and economic growth.

Business Incubators
Business incubators are organizations that provide support and resources to early-
stage start-up companies to help them develop, grow, and become successful businesses.
These incubators typically offer physical space, mentoring, access to networks, and business
development services to help start-ups overcome challenges and accelerate their growth.
Business incubators can be operated by various entities, including government agencies,
universities, private companies, non-profit organizations, and venture capital firms.
Here are some key features of business incubators:
1. Physical Space: Business incubators provide start-ups with physical space, such as
office facilities or co-working spaces, where they can work, collaborate, and grow
their businesses. This can include facilities like meeting rooms, workstations, and
other amenities.
2. Mentorship: Business incubators typically provide mentorship and guidance from
experienced entrepreneurs, industry experts, or business professionals. Mentors can
help start-ups refine their business models, develop their products or services, create
marketing strategies, and provide valuable advice on various aspects of running a
successful business.
3. Access to Networks: Business incubators offer start-ups access to networks of
investors, industry partners, customers, and other stakeholders. These networks can
provide opportunities for partnerships, collaborations, and business development,
which can be crucial for the growth of start-ups.
4. Business Development Services: Business incubators often offer business
development services such as market research, financial planning, legal and
accounting support, and marketing assistance. These services can help start-ups
develop their business plans, financial strategies, and marketing campaigns to position
themselves in the market and attract customers.
5. Funding Support: Some business incubators may provide funding or facilitate access
to funding sources, such as angel investors, venture capitalists, or grants. This can
help start-ups secure the necessary capital to develop their products, scale their
operations, and achieve their growth objectives.
6. Community and Peer Support: Business incubators foster a community of
entrepreneurs, creating an environment where start-ups can learn from each other,
collaborate, and share experiences. Peer support and networking opportunities can
provide valuable insights, feedback, and motivation for start-ups.
7. Time-Limited Support: Business incubators typically offer time-limited support,
ranging from several months to a few years, depending on the program. Start-ups are
expected to graduate from the incubator once they have achieved certain milestones or
are deemed ready for the next stage of growth.
Business incubators can play a crucial role in supporting early-stage start-ups by providing them
with the resources, mentorship, networks, and services needed to accelerate their growth and
increase their chances of success. They are an important component of the start-up ecosystem
and contribute to fostering innovation, entrepreneurship, and economic development.

Rural Entrepreneurship
Rural entrepreneurship in India has gained significant attention in recent years as a
means to foster economic growth, create employment opportunities, and promote sustainable
development in rural areas. India, with its large rural population, diverse agri-based economy,
and varied rural landscapes, presents unique opportunities and challenges for rural
entrepreneurship.
Here are some key aspects of rural entrepreneurship in India:
1. Agriculture and Agribusiness: Agriculture is a predominant economic activity in rural
India, and rural entrepreneurship often revolves around agriculture and agribusiness.
Rural entrepreneurs may engage in activities such as farming, animal husbandry,
horticulture, food processing, agri-input supply, and value-added agribusinesses.
These ventures can create livelihood opportunities for rural communities, enhance
agricultural productivity, and contribute to rural economic growth.
2. Rural Handicrafts and Artisans: Rural India is known for its rich heritage of
handicrafts and traditional arts, and rural entrepreneurs often engage in the promotion,
preservation, and commercialization of these crafts. This includes products such as
handloom textiles, pottery, woodwork, metalwork, folk art, and other traditional
crafts. Rural entrepreneurs can create market linkages, add value to traditional crafts,
and generate income for rural artisans.
3. Rural Tourism and Hospitality: Rural areas in India are known for their natural
beauty, cultural diversity, and traditional practices, making them attractive for rural
tourism and hospitality ventures. Rural entrepreneurs may set up homestays, eco-
tourism ventures, farm-stays, adventure tourism, and other hospitality services that
cater to tourists
seeking authentic rural experiences. Rural tourism can generate income for rural
households, promote local culture, and contribute to sustainable tourism practices.
4. Renewable Energy: Rural India often faces challenges in accessing reliable and
affordable energy sources. Rural entrepreneurship in the renewable energy sector,
such as solar energy, biogas, and other forms of renewable energy, can provide clean
and affordable energy solutions for rural communities, create job opportunities, and
promote sustainable development.
5. Handicrafts and Artisans: Rural India is known for its rich heritage of handicrafts and
traditional arts, and rural entrepreneurs often engage in the promotion, preservation,
and commercialization of these crafts. This includes products such as handloom
textiles, pottery, woodwork, metalwork, folk art, and other traditional crafts. Rural
entrepreneurs can create market linkages, add value to traditional crafts, and generate
income for rural artisans.
6. Technology-enabled Rural Entrepreneurship: Technology, including e-commerce,
mobile applications, and digital platforms, has opened up new opportunities for rural
entrepreneurs in India. Rural entrepreneurs can leverage technology to access
markets, connect with customers, and optimize their supply chains. For example,
digital platforms for agricultural marketplaces, e-commerce for rural products, and
mobile apps for rural services can enable rural entrepreneurs to scale their businesses
and reach wider audiences.
7. Government Initiatives and Support: The Indian government has initiated several
programs and policies to promote rural entrepreneurship. This includes schemes such
as the Deendayal Antyodaya Yojana-National Rural Livelihood Mission (DAY-
NRLM), Start-up Village Entrepreneurship Program (SVEP), and National Rural
Entrepreneurship Development Institute (NREDI), which provide financial support,
capacity building, and mentoring for rural entrepreneurs.
Rural entrepreneurship in India has the potential to drive economic growth, create
employment opportunities, and promote sustainable development in rural areas. It can
contribute to poverty alleviation, women's empowerment, and overall rural development.
However, it also faces challenges such as access to finance, market linkages, infrastructure,
and skills development. Addressing these challenges and creating a supportive ecosystem for
rural entrepreneurship can unlock the potential of rural India and promote inclusive and
sustainable economic growth.
Social Entrepreneurship
Social entrepreneurship is a form of entrepreneurship that focuses on creating
innovative and sustainable solutions to social, environmental, or cultural challenges. Social
entrepreneurs aim to make a positive impact on society by addressing social problems
through entrepreneurial approaches.
Here are some key aspects of social entrepreneurship:
1. Social Impact: The primary focus of social entrepreneurship is to create positive
social impact by addressing social, environmental, or cultural challenges. Social
entrepreneurs identify social problems and work towards developing innovative and
sustainable solutions to tackle these issues. The impact of their ventures is measured
not only in terms of financial profitability but also in terms of the positive change they
bring about in society.
2. Innovation and Creativity: Social entrepreneurs often employ innovative and creative
approaches to solve social problems. They may develop new products, services,
business models, or strategies to address social issues in a sustainable and scalable
manner. Social entrepreneurship involves thinking outside the box and finding unique
solutions to complex social challenges.
3. Sustainability and Scalability: Social entrepreneurs aim to create sustainable solutions
that can have a long-term impact. They focus on developing financially viable models
that can be scaled up to reach more people and have a broader societal impact. Social
entrepreneurs often balance the social impact and financial sustainability of their
ventures to ensure their solutions are effective and can be replicated in different
contexts.
4. Stakeholder Engagement: Social entrepreneurs actively engage with various
stakeholders, including the communities they serve, government, NGOs, corporations,
and other relevant actors. They collaborate with different stakeholders to develop
comprehensive solutions, leverage resources, and create synergies for maximum
impact. Stakeholder engagement is a critical element of social entrepreneurship as it
helps build partnerships and networks to address social problems effectively.

5. Measuring Social Impact: Social entrepreneurs use different methods and tools to
measure the social impact of their ventures. They may track key performance
indicators (KPIs) related to social, environmental, or cultural outcomes to assess the
effectiveness of their solutions. Measuring social impact helps social entrepreneurs
monitor the progress of their ventures, learn from their experiences, and improve their
approaches to maximize their positive impact.
6. Ethical and Responsible Business Practices: Social entrepreneurs often prioritize
ethical and responsible business practices. They consider the social and environmental
implications of their ventures and strive to create positive change without
compromising ethical standards. Social entrepreneurship promotes responsible and
sustainable business practices that align with the values of social and environmental responsibility.
7. Empowerment and Inclusivity: Social entrepreneurship often focuses on empowering
marginalized and underprivileged communities. It aims to create inclusive solutions
that address social inequalities and promote social justice. Social entrepreneurs work
towards empowering individuals and communities to become self-sufficient, resilient,
and active participants in society.
Social entrepreneurship has gained momentum globally as a powerful approach to tackle social
challenges and create positive change. It has the potential to drive innovative solutions, create
sustainable impact, and contribute to building a more just and inclusive society.

Women Entrepreneurs
Women entrepreneurs are individuals who identify as female and are engaged in
entrepreneurial activities, such as starting, managing, and growing their own businesses.
Women entrepreneurs play a crucial role in the economy by creating jobs, driving innovation,
and contributing to economic growth. However, women entrepreneurs often face unique
challenges and barriers that can affect their entrepreneurial journey. Here are some key
aspects of women entrepreneurship:
1. Gender-specific Challenges: Women entrepreneurs often face gender-specific
challenges, such as gender bias, discrimination, and stereotypes. These challenges can
affect their access to capital, markets, networks, and resources. Women entrepreneurs
may also face difficulties in balancing their entrepreneurial pursuits with family and
caregiving responsibilities, which can impact their ability to start and grow
businesses.
2. Empowerment and Gender Equality: Women entrepreneurship is closely linked with
empowerment and gender equality. Women entrepreneurs strive to challenge gender
norms, overcome barriers, and create equal opportunities for themselves and other
women. Women entrepreneurship can be a means for women to achieve economic
independence, build self-confidence, and contribute to their families, communities,
and societies.
3. Networks and Support Systems: Women entrepreneurs often benefit from supportive
networks and mentorship programs that provide guidance, resources, and
opportunities for learning and growth. Women-specific networks, incubators,
accelerators, and other support systems can provide women entrepreneurs with access
to networks, capital, business development opportunities, and peer support.
4. Innovation and Diversity: Women entrepreneurs bring diverse perspectives,
experiences, and skills to the entrepreneurial ecosystem. Women-led businesses can
foster innovation and diversity by bringing unique insights, solving unmet needs, and
promoting inclusive business practices. Women entrepreneurs often leverage their
diverse backgrounds and experiences to develop innovative solutions and create
positive social impact.
5. Advocacy and Policy Support: Women entrepreneurs advocate for policies and
initiatives that promote gender equality, create equal opportunities, and address the
specific challenges faced by women entrepreneurs. Policy support, including access to
affordable financing, business training, mentorship, and other resources, can help
women entrepreneurs overcome barriers and succeed in their entrepreneurial
endeavors.
6. Leadership and Role Modeling: Women entrepreneurs serve as leaders and role
models, inspiring other women and girls to pursue entrepreneurial careers. Women
entrepreneurs often challenge traditional gender roles and stereotypes, and their
success can encourage other women to aspire to entrepreneurship as a viable career
option. Women entrepreneurs can also serve as mentors, providing guidance and
support to aspiring women entrepreneurs.
7. Economic and Social Impact: Women entrepreneurship can have significant economic
and social impact. Women-led businesses can create jobs, generate income, and
contribute to economic growth. Women entrepreneurs also often prioritize social
impact, such as addressing social issues, promoting sustainability, and empowering
marginalized communities.
Women entrepreneurship is a critical aspect of the entrepreneurial ecosystem, and efforts to
support and promote women entrepreneurs can contribute to gender equality, economic
growth, and social progress. It is important to recognize and address the unique challenges
faced by women entrepreneurs and create an enabling environment that fosters their success
and promotes gender equality in entrepreneurship.
CASE STUDY: TATA
The Tata Group, headquartered in Mumbai, India, is one of the oldest and
largest conglomerates in India, with businesses spanning across various sectors,
including automotive, steel, telecommunications, hospitality, healthcare, and more.
The Tata Group has a rich history of entrepreneurship and innovation, with several
notable case studies that showcase their entrepreneurial endeavors in India. Here is a
brief overview of a case study on Tata's entrepreneurship in India:
Case Study: Tata Nano - "The People's Car"
One of the most notable cases of Tata's entrepreneurship in India is the development
and launch of the Tata Nano, dubbed as "The People's Car." The Tata Nano was
introduced in 2009 as an ultra-affordable car targeted at the mass market segment in
India, with a starting price of INR 100,000 (equivalent to approximately USD 1,400 at
that time). The Tata Nano aimed to provide a safe and affordable mode of
transportation for millions of people in India who were unable to afford a car.
The Tata Nano project was driven by Ratan Tata, the then Chairman of Tata Group,
who envisioned a car that could empower families and transform the way people
traveled in India. The project faced several challenges, including regulatory issues,
land acquisition, and production delays. However, Tata Motors, the automotive arm
of the Tata Group, persevered and successfully launched the Tata Nano in 2009.
The Tata Nano project was considered an entrepreneurial endeavor as it aimed to
disrupt the traditional automotive market in India by creating a new segment of ultra-
affordable cars. The project required significant innovation and creativity to design
and produce a car at such a low cost while maintaining safety and quality standards. It
also involved strategic marketing and distribution efforts to reach the target market
effectively.
The Tata Nano project had a significant impact on the Indian automotive market and
society. It brought affordable mobility to millions of families who previously relied
on two-wheelers or public transportation. However, the project also faced challenges,
including issues related to manufacturing and supply chain, consumer perception, and
competition. In 2018, Tata Motors announced that it would stop manufacturing the
Tata Nano due to low sales.
Despite the challenges faced by the Tata Nano project, it remains a prominent case
study of Tata's entrepreneurship in India, showcasing the company's innovative and
disruptive approach to business, its commitment to social impact, and its pursuit of
inclusive growth.
In conclusion, the Tata Group's entrepreneurial endeavors, such as the Tata Nano
project, demonstrate the company's commitment to innovation, social impact, and
inclusive growth in India. The case study of Tata's entrepreneurship in India provides
insights into the challenges, opportunities, and lessons learned from their
entrepreneurial journey, showcasing their role as a leading conglomerate in India's
business landscape.
CASE STUDY : BIRLA ENTERPRISES
Birla Enterprises, also known as the Aditya Birla Group, is a leading
conglomerate in India with businesses spanning across various sectors, including
cement, metals, textiles, chemicals, telecommunications, financial services, and more.
The Birla Group has a long history of entrepreneurship and innovation, and their
entrepreneurial endeavors have made a significant impact on India's business
landscape. Here is a brief overview of a case study on Birla Enterprises'
entrepreneurship in India:

Case Study: Birla Sun Life Insurance - Entering the Indian Insurance Market
One notable case of Birla Enterprises' entrepreneurship in India is the establishment
of Birla Sun Life Insurance (BSLI) in 2000. BSLI is a joint venture between the
Aditya Birla Group and Sun Life Financial Inc., a leading international financial
services organization based in Canada. BSLI entered the Indian insurance market as a
life insurance company, offering a wide range of insurance and investment products.
The BSLI project was driven by Kumar Mangalam Birla, the Chairman of the
Aditya Birla Group, who recognized the potential of the Indian insurance market and
the need for a reliable and customer-centric life insurance provider. The BSLI project
required significant investments in infrastructure, technology, and talent to establish a
strong presence in the highly competitive insurance market in India.
BSLI's entrepreneurial approach included a focus on customer-centric
products and services, innovative distribution channels, and a strong emphasis on
customer engagement and relationship management. BSLI also leveraged the Aditya
Birla Group's existing customer base and brand equity in India to establish a strong
market position.
Over the years, BSLI has achieved significant success and growth, becoming
one of the leading private life insurers in India. The company has been recognized for
its innovative products, customer-centric approach, and strong distribution network.
BSLI has also expanded its product portfolio to include health insurance, retirement
plans, and wealth management solutions.
The BSLI case study demonstrates Birla Enterprises' entrepreneurial spirit,
strategic vision, and ability to identify and capitalize on business opportunities in the
Indian market. It also highlights the challenges and opportunities associated with
entering a highly regulated and competitive industry in India, and the importance of
customer-centricity and innovation in building a successful business.
In conclusion, Birla Enterprises' entrepreneurial endeavors, such as the
establishment of Birla Sun Life Insurance, showcase their ability to identify and
capitalize on business opportunities, leverage their existing strengths, and create
successful businesses in India's dynamic business landscape. The case study of Birla
Enterprises' entrepreneurship in India provides insights into their strategic approach,
innovation, and commitment to customer-centricity in building a successful business
in a competitive market.
CASE STUDY: KIRLOSKAR
Kirloskar Group is a prominent conglomerate in India with businesses in
engineering, manufacturing, energy, and hospitality sectors. The company has a rich
history of entrepreneurship and innovation, and their entrepreneurial endeavors have
made a significant impact on India's industrial and economic landscape. Here is a
brief overview of a case study on Kirloskar Group's entrepreneurship in India:

Case Study: Kirloskar Brothers Limited - Pioneering Pump Manufacturing in India

Kirloskar Brothers Limited (KBL) is the flagship company of the Kirloskar Group and
is one of the leading pump manufacturers in India. The company was founded in 1888
by the Kirloskar brothers - Laxmanrao Kirloskar and Raghunathrao Kirloskar, who
were pioneers in the field of engineering in India.
KBL's entrepreneurial journey started with the manufacturing of agricultural
pumps, which revolutionized farming practices in India and helped in increasing
agricultural productivity. The Kirloskar brothers' vision was to create world-class
engineering products in India and contribute to the country's economic growth.
KBL's entrepreneurial approach included continuous innovation, product
diversification, and expansion into global markets. The company invested in research
and development to develop cutting-edge pump technologies and solutions tailored to
the Indian market. KBL also focused on building a strong distribution network and
customer relationships, which helped them establish a strong market presence in India
and globally.
Over the years, KBL has achieved significant success and growth, becoming a
leading player in the pump manufacturing industry in India and internationally. The
company has expanded its product portfolio to include a wide range of pumps for
various applications, such as agriculture, water supply, wastewater management, and
industrial processes. KBL has also diversified into related businesses, such as valves,
engines, and electrical motors.
The KBL case study showcases the company's entrepreneurial spirit,
commitment to innovation, and customer-centric approach in building a successful
business in India's engineering sector. It also highlights the challenges and
opportunities associated with manufacturing and engineering industry in India,
including technology innovation, market expansion, and customer relationship
management.
In conclusion, Kirloskar Group's entrepreneurial endeavors, particularly the
case study of Kirloskar Brothers Limited, exemplify their pioneering spirit,
innovation, and commitment to building world-class engineering products in India.
The case study provides insights into KBL's strategic approach, innovation, and
customer-centricity, which have contributed to their success in the Indian and global
markets.