To capture this opportunity, it is important that it is driven by the right people. Today India is at its prime age group of 30-45 who have all the right resources, capital, knowledge and desire to pursuit business ownership. Over the years, insecure environment causing people to get fired, laid-off, made redundant, or are part of a reduction-in-force have often been reasons why people have take on to business ownership.
A great researcher, once said that fine line between salaried and an entrepreneur is the fear of failure but in our country a common Indian fails several times in a year and for reasons usually not in his control. Take the case of Mr. Rakesh Kapur who got fired after 15 years of successful service and having done everything right in his profession, could not find a suitable reason why because of wrongdoings of his management, he was a failure with no job in hand. His desperate attempts to seek another job got him face to face with the reality that “How much experience do you have?” does not apply anymore. Indeed long “experience” in a large company is a liability in the new economy. People in the profile of Mr. Kapur have been eager to become upwardly mobile cogs in the corporate machine and looked forward to retiring on a robust retirement fund. Rakesh Kapur figured that had he started on his own for last as many years, he would at least be accountable for his failure.
What do the entrepreneurs of tomorrow look like?
As Dhruv Sharma was growing up, he had been told to study hard, get top grades, so he could a plush job with good perks. He was groomed to become an employee. At 28, Dhruv Sharma, belongs to the first generation of risk-takers in his clan who quit his safe job, defied his family to launch his startup venture after a two year corporate stint. Dhruv’s ambition is not forced by factors of economic slowdown or anticipation of redundancy but has more to do with the fact that Indian young today do not view Business ownership as risk but as an opportunity. The younger lot has seen how little corporate India has offered their parents; As a result, they are choosing to start businesses early in life. Some of this new crop of entrepreneurs like Dhruv Sharma have already had a taste of the corporate life and found its rigid confines and lack of rewards a bitter pill to swallow. Motivated by the desire for autonomy, greater job security, and a larger share of the profits, today entrepreneurship has become a key career choice for young Indians.
Entrepreneurship: Risk vs. Reward
While both Mr. Uttam Singh, 55, employed in Government Organization and Mr. Vikram Seth 36, employed in a telecom company recognize the less the than 100% rewards of their bearings in a corporate career ... one through experience and the other through observation and realize that entrepreneurship has lots of pluses but still good 65% people like Uttam and Vikram don’t take this route for the fear of going wrong.
As the Japanese put it, “Vision without action is a daydream. Action without vision is a nightmare”. So the real question here really is how much risk are you willing to tolerate for the expected reward to embrace Business ownership? Or, let us put it to say how much reward does it take to justify the risk you take? There's no one right answer. For Starters, the answer may have some resemblance with the playing technique of your favorite cricket stars. If you swing for the fences, entrepreneurship as a start-up may be your best choice. For someone in Vikram Seth’s shoes, because of his experience in an industry could lead him to recognize an opportunity or a gap in the market on the basis of which he can create a business case and capitalize on it but greatly reduce his start-up risk. However, if one prefers a consistent batting average, perhaps a lower-risk business model should be contemplated weighing risks with the related odds. A minimal investment model with moderately high returns based out of personal effort akin to a service based business models ,or if you have some capital available than the structure of the franchise program based on brand and support of the franchisor can bring you closer to your ambitions.
Indian Entrepreneurship gets a facelift
Even though India has probably some of the most creative, talented and innovative minds like Dhruv Sharma & Vikram Seth but there story has another side too; the whole cult of entrepreneurship in India has been biased so far, often featuring last as the career option. The mere idea of a tradeoff of a 10 year steady salary to a 10-year business loan still prompts an Indian family to push their well educated children to take up a job in top notch MNC that would ensure him safe and steady growth. Had it not been for the great success examples set by technology entrepreneurs & new age knowledge based businesses, over the last half a decade ,who have given a whole new status quo to becoming an entrepreneur, 100% Indians would still be pursuing the dream of being white collared employees rather than exploring self-employment. Today many in such a position, in India, would agree that while Dhruv and Vikram may have much to lose but still enough to gain in their entrepreneurial pursuit once they calculate risks that they would be taking and compare it to the odds of not taking risk at all.
More Funds for SME Business
Indian Government on its part is encouraging entrepreneurship as a cultural attitude with various initiatives like easy SME loans and promoting incubation centers for entrepreneurs. Easier early stage funding from both private VCs and Angel funds are now setting the mood for entrepreneurship.
Are you Ready to climb the Ladder of Business Ownership
The challenge of making the transition from an employee to an entrepreneur can often overpower a lifelong dream. While there's no right answer, but once you establish a realistic idea of the risks involved, and the level of risk you're comfortable with, entrepreneurship has many forms -small, big or home-based. Meet us at the 28th FRO show in Mumbai on May 22-23, 2010, wherein Indian and International experts will help you take an entrepreneurial plunge or scale up your existing business.
Authored by Ritu Marya, Editor, Franchise India Media
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