The Indian Start-up Scenario Why only a few Start-ups Survive? by vinodsaini · January 8 De'Aaron Fox Kings Jersey , 2019
Some call India as start-up hub, which is also true considering that the country ranks third in global startup ecosystem. 聽But the question here is not about starting up, but about surviving. Only a handful of start-ups in the country are able to survive and sometimes make it big.
So what really makes a start-up fail?聽 Let us dig deeper and try to investigate the reason why many fail while only a small percentage is able to strive and thrive.聽 There are many reasons why a majority of startup fall flat in the initial 3 to 5 years, few of them are discussed below.
India might have become the third-largest ecosystem, just behind US & UK; but a recent study revealed that 90% of these Indian startups fail in the first five years, and the most common reason for this failure being the lack of innovation.聽 This can be seen from the fact that India filed 1,423 international patents in 2015-16, while Japan filed 44,235, China 29,846 and South Korea 14,626.聽 77% of venture capitalist when surveyed believed the prime reason for Indian startup to fail is the lack of innovation and unique business models.
It鈥檚 well known that most Indian startups are prone to emulate successful global ideas, by and large fine-tuning an existing model to serve local needs.聽 For example, there is Ola for Uber, Gaana for Spotify, Oyo for Airbnb and many more.聽 Due to the replication of western ideas and business models, these startups fail to create an innovative plan, which usually helps startups sustain, and subsequently grow.
The second reason is closely knitted to the first one, the lack of understanding and surveying of local needs and challenges, and translating it into a product.聽 Something as basic as this can be quite challenging to crack.聽 Most of the start-ups trying to either replicate a western idea or technology based on a survey done with only few participants fail to understand the need of a larger set of audience based in various parts of the country, and belonging to different classes of society.聽 Scale, urgency, opportunity, and utility are paramount importance here.聽 Scale refers to understanding the breadth of the user problem that is being solved.聽 Utility and urgency are for the solution on offer and if it鈥檚 addressing a core need, or is only a good to have solution.聽 Most founders of startups do not have this experience, nor do they try to conduct in-depth surveys to gauge customer perception; as a result, the outcomes are not very favorable.
The next reason is the lack of skillful and trained manpower.聽 Attracting the right people for the right job is a very basic problem. It鈥檚 hard to believe in a country of over 1.2 billion people, startups struggle to find the right manpower to undertake quality work.聽 The biggest challenge that small businesses as well as start-ups face is the lack of trained professionals willing to let go a higher salary package that an MNC can offer, in order to work for a much smaller organization with a practically invisible brand.聽 Most startups are unable to offer a healthy salary package to resources who pass out from premium colleges of the country and have to rely on resource who may or may not be ready at the get go to initiate the work at the required level of efficiency.聽聽 Online, offline, or hybrid 鈥?it is the execution quality of a business, which wins or loses, and many start-ups fail due to the lack of right manpower to execute quality work.
The challenge that disrupts many businesses from running smoothly is the lack of a unified vision.聽 Every founder cannot be a CEO. Only one person sets the vision, and the others execute after there is a broad agreement over what needs to be done. There is room for only one CEO who ensures the activities undertaken are in accordance with the core vision of the company.聽 Too many people trying to display the big picture is a waste of time and shows role ambiguity.
There are many multiple reasons that leads to a failure of a startup and these challenges can be tackled with having a right consultant or a mentor who can help young entrepreneurs cross the bridge and overcome these hurdles to set up a successful foundation for a business.聽 An institution, like Acharya Bangalore B-School, can also play a pivotal role in building young entrepreneurs by encouraging creativity and practical real life application of knowledge.聽 Innovation and skilled manpower are the key drivers for any startup, and by filling these gaps the rate of success of any start-up can be substantially improved.
3 Ways to Store Your Small Plane Autos Articles | June 11, 2015 When one buys a small plane, it’s most likely pictured in the sky, not on the ground. One imagines the clouds entered and miles traversed, not an idle machine still and earthbound. However, stor...
When one buys a small plane, it’s most likely pictured in the sky, not on the ground. One imagines the clouds entered and miles traversed, not an idle machine still and earthbound. However, storage is just a much an element of aviation as is flight. Proper storage protects both the pilot and their equipment. Methods vary and usually find themselves dictated by budget. Read on to explore three different ways you can store your small plane safely and effectively.
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