Introduction
New Indian Entrepreneurs is gaining the limelight in the past few years, with several startups who are achieving success in their startup ecosystem. There is no doubt that starting a business in India welcomes a lot of opportunities as well as obstacles during this path that the entrepreneur faces in the process of establishing a new venture. When you decide to establish a new venture in India there are some major issues that you need to look into and the solutions to those issues should be prepared beforehand so that you don’t need to waste time during that time and can easily get your startup business out from that problem.
India is a land of opportunity, and many entrepreneurs have seized their businesses to start their businesses in the diverse and dynamic market. India has become the hub of entrepreneurship in recent years. With the growth of the Indian economy and the availability of different resources, the number of people starting their own businesses has been increasing rapidly. Establishing a new business in India is not an easy task and entrepreneurs need to face many hurdles in this process.
Here is the list of some common issues or hurdles that an Indian entrepreneur will face in the process of establishing a new venture:
Understanding the Target Market
India is a country where diversity is there. India is known as the cultural melting point where there is diversity in almost everything, like food, language, or clothing. Similarly, there is a diversification in customer demand and expectations. In-depth research of your target audience is required before you start to do the business, as this will help you to know about the culture and will automatically benefit the entrepreneurs.
Managing Finances And Cashflow
Finding a potential investor for your startup is not a cakewalk. Your investor should have knowledge about the product idea, your business model, your revenue model, and many more such things. A thorough business plan should be in place and all the funding assets should be clearly mentioned and discussed. The entrepreneur should get in touch with the investor who will have an idea. You should have a solid pitch for your business in order to attract the customer.
Marketing is considered an important aspect of every single business. A good marketing strategy can profit your business and can help to gain good publicity. In this era of social media, your business cannot fail in terms of marketing. Social media is a great platform to publicize your startup. Being a startup business, it is essential that you establish the customer’s visibility. The visibility can be in positive or negative ways. The best example of this is the controversial advertisement of Tanishq.
The brand faced a massive challenge when one of its controversial advertisements of a Hindu girl being married in a Muslim house gained a lot of controversies and the brand was forced to take back the advertisement. No doubt that as a startup you need to gain the public’s attention, but should take care of your brand’s reputation also.
Hiring And Retaining Talent
For a successful business, it is important to hire and retain skilled talent in their respective work. Hiring the right employee is crucial for your startup as the employees are not only the backbone of your business, but they help to drive the business forward and open more opportunities. Therefore, hiring an appropriate employee that will make your startup grow further is very essential.
For that, it is important to have an efficient hiring system in place that includes, defining the job rules which include that the job description is clear and concise, and last but not least, and most important thing is that don’t rush the process. Take your time in hiring the employee and make sure that the employee’s skills match your requirements.
Limited Access To Capital
One of the biggest hurdles that the entrepreneur faces is the lack of access to capital. The problem the entrepreneurs face is that they are not able to secure loans to start their businesses. This limited access to capital can limit the growth of the new venture. This hurdle is due to various issues like lack of awareness about various funding options, high-interest rate charges by banks, and untested businesses. To overcome this problem entrepreneurs can use alternate options like bootstrap, which involves using personal savings or profits to invest in their own business.
The most important challenge that the entrepreneur faces is ‘Idea’. Entrepreneurs must have knowledge of what their target audience is and who is likely to purchase their product. If your business doesn’t provide the solutions of its customers or doesn’t provide its customers with what they want, they surely are going to fail in its business. Having an idea that will solve the problems of your target audience will allow your venture to gain popularity among customers. Not only this your idea should be unique from the others as a new venture will be successful if it will be unique.
Effective Marketing On a Limited Budget
Establishing a new venture, requires the customer’s attention to your venture so that they can get to know about your business. Being a start-up it is very important to create visibility among the customers. With the use of effective marketing techniques, it is important to reach your target audience. As you are a startup and have a limited budget, you can’t waste that budget on advertising, as you need the budget in establishing your venture.
When your business is not planned properly before it is launched in the market, and the proper research is not done, this can be converted to a great failure for your business. You need to plan things properly and need to make sure that you cover each-and-everything, which means including your target audience, a proper idea, an effective marketing strategy on a limited budget, and many such things that will make sure that your startup is all set to be launched
To overcome these challenges, entrepreneurs can leverage the gig economy(a labor market that relies heavily on temporary and part-time position workers) to tap into the pool of independent contractors. Establishing a new venture in India comes with many new challenges and entrepreneurs must navigate these hurdles to ensure the success of their business. The biggest challenge that most entrepreneurs face is the fear of failure. It’s not always necessary that the idea you have decided on will work definitely, sometimes there are some failures that one organization faces in the process of establishing a new venture.
You are available with skills and valuable resources, and the thing that is required is to work efficiently with those resources and generate a profitable outcome for your business. Limited access to technology and innovation can also be a hurdle that the entrepreneurs face while establishing a new venture. Limited access to technology can make your startup unaware of the new techniques which entrepreneurs are using to establish their new ventures in the market.
The fact is that there is no sugar-coating on the startups even when they overcome these challenges. Startups have to face challenges on a daily basis and they need to find and discover ways to overcome them daily so that they can successfully establish their business in the market. The most common hurdle which every single entrepreneur faces is the fear of failure, but having the fear of failure doesn’t mean that entrepreneurs will spot establishing new ventures and exploring different things in the market.
Lack of mentorship from a well-established business can also be a hurdle in the process of establishing a new venture, as a mentor can guide you with the things you need to take care of while establishing a new venture and what things are the compulsion to do in the venture.
Taking care of the above-given things and then establishing your new venture wisely will help you to be successful in your startup. These fears would disappear when you will focus on improving your startup day by day. Adding new ideas to your business and trying to establish a new venture as an entrepreneur will be a difficult task and you will face many hurdles in this process, but you need to be clear with your idea and should be confident with your team whom you are working on for this idea, and you will surely be successful in your new venture.
Conclusion
With the help of the initiatives of the Indian Government, it has become easy for entrepreneurs. The government has started various start-up programs for new ventures that provide funding, mentorship, and other resources to startups. By staying up-to-date on industry trends and customer needs, entrepreneurs can remain to establish new ventures and be competitive in the business.
While Indian entrepreneurs are facing hurdles in establishing a new venture, there are numerous strategies that can be used by the entrepreneurs to overcome these hurdles and make a good position in the market. With determination, an innovative mindset, and support from the networks, the entrepreneurs can establish a new venture successfully and this will surely profit them.
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