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Emergence of Entrepreneurial Class in India

.  Ancient literature like Manusmriti provided a clear idea about entrepreneurial class of people during ancient period.  For centuries .Introduction  Entrepreneurial class in India have existed since times immemorial.  Society was divided into four Varnas or Castes and people belonging to the Vaishya caste were regarded as entrepreneurs . India was the hub of spice trade.

Entrepreneurship in Pre-Independence Era II.Emergence of Entrepreneurial Class in India  The Emergence of Entrepreneurial Class in India can be studied under two main time periods: I. Entrepreneurship in Post-Independence Era .

.  Manufacturing related entrepreneurial activities by  The first Indian to think on entrepreneurial lines was Ranchhodlal Chhotalal who in 1847 envisaged textile manufacturing on modern factory lines but failed in his first attempt.Entrepreneurship in PreIndependence Era  Before 1850 there were some stray attempts of setting up factories in India mostly by Europeans and they got success because of political privilege and control over money market. Indians was confined to Cottage Industries.

Marwaris .Kumatis and Syrian Christians led entrepreneurial efforts.  With the introduction of Rail Transport in 1853 and development of other infrastructural facilitates . . Manufacturing Entrepreneurship in India did not develop till the 1850s. the entrepreneurs were mainly Europeans who engaged in export-oriented industries but entrepreneurship in Western part of India was mostly among the Indians led by the Parsis .  In eastern part of India . the Chettiars . Jains and Sindhis.the scope for industrial entrepreneurship in India increased. In South India .

 Bombay Spinning and Weaving Company was the first cotton mill to be established in Bombay . Kirloskar established the Kirloshkar Group in 1888which is even today India’s largest manufacturer of pumps and valves.L. . Davar.N.  S. The foundation of the Tata Group as a trading company in 1868 by Jamshedji Tata was a watershed moment in entrepreneurial development in India.India in 1854 by C.

C. .  The Tata Iron and Steel Company was established on August 25. as part of the Tata Group with entire ‘Swadeshi Capital’. 1907.O. Roy established Bengal Chemical Works in Calcutta.  V. Chidambaram Pillai established the Swadeshi Steam Navigation Company in October 1906 at Tuticorn .Tamil Nadu. Entrepreneurship in pre-Independence India received the greatest boost with the launch of the Swadeshi movement in 1905.  P.

D.Jamnalal Bajaj .etc.  Imports from England and other foreign countries fell substantially. Birla . Besides. . The outbreak of the First World War in 1914 and the Second World War in 1939 created enormous demand for factory goods in India and around the world. the government demand for war-purposes increased considerably.  This period spawned many enterprising entrepreneurs like G.

Indian Entrepreneurs had already gained dominance over industry in India.  Indian entrepreneurs had already made their mark against their British competitors in India.Entrepreneurship in PostIndependence India  By 1947 .when India gained independence . . Indian adopted the mixed economic system under which the private and public sector were to co-exist.  After Independence.

like:  Establishment of Small Scale Industries Development Organization in 1954. established in 1982 by the Government of India under the Department of Science & Technology to help promote knowledge driven and technology intensive enterprises. .Post-Independence .  The National Science & Technology Entrepreneurship Development Board (NSTEDB). various measures were taken to promote entrepreneurship in the country .  Establishment of IFCI in 1948 and ICICI in 1954 for industrial finance.  Establishment of Entrepreneurial Development Institute of India in 1983.particularly in small-scale industries .

the average number of companies formed each year was 14. .  Figures from the Ministry of Corporate Affairs show that from 1980 to 1991.379. Entrepreneurial Development remained arrested by the rigors of the License-Permit Raj. while from 1992 to 2006.  Liberalization of the economy in 1991 acted as a catalyst to Entrepreneurial Growth.835 . the average number of companies formed per year was increase of 135%.

Sunil Bharti Mittal . etc. Dhirubhai Ambani. .the emergence of entrepreneurial class in post-  A shinning example of this is the Kanbi Patel community of  Many women entrepreneurs too have made their mark.  Some popular post-independence era entrepreneurs include N. The rigid caste-based nature of Indian society was inherently hostile to occupational mobility and.R. caste and regional lines pointing to increased occupational mobility. Narayana Murthy . Gujarat who have made the transition from farming to diamond business in a single generation. by extension. independence India has cut across religious . Entrepreneurship had been traditionally concentrated in the hands of a few communities.  However . to business and entrepreneurship.

Conclusion  Entrepreneurial class of people have emerged and thrived in India in spite of numerous challenges and difficulties faced by them. The same survey states ranks India at 173 out of 185 nations as far as ease of starting a business is concerned. According to the ‘Doing Business Report 2013’ published by the World Bank . . Another challenge is to ensure that there is more occupational mobility towards entrepreneurship especially from socially and financially disadvantage groups.India ranks a lowly 132 out of 185 countries in overall ease of doing business. ‎  books. Batra Websites:  Books:  Development of Entrepreneurship by  doingbusiness.

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