If we were to look around us, the entrepreneurial mindset is widespread in India, especially in sectors such as retail, we have over 13 million shops in the country, 78 percent of which are family owned. However, the sector is fragmented and has issues of scale, and does not have a supporting ecosystem. The U.S. economy, as we all know, is primarily entrepreneurial; as a matter of interest, VC-backed companies represent 17 percent of their GDP and generate over 10 million jobs. Every year over one million new companies are started in the U.S., almost 50 percent of them fail the very first year and 40 percent just survive for five years. The important point is that failure is accepted as a natural part of the process and is not viewed as a dead end.
This is a good sign for us to maintain the nine percent growth we talk about: we must create jobs and while the government can only play facilitator, the education system, especially our universities together with the industry must nurture the required ecosystem. Education needs to adapt its curriculum to encourage entrepreneurial skill sets right from high school onwards. Opportunity evaluation, risk taking, raising and leveraging resources, communications, and sales are survival skills; and these cannot be imbibed through an intensive dose later in life. If students are given opportunities to practice these skills in the relatively safe and risk-free environment of an academic institute, young people, when they do start ventures, will have higher chances of success.
