Reasons for failure of new

entrepreneurs in India
Importance of entrepreneurs
 Promotes Capital Formation
 Creates Large-Scale Employment Opportunities
 Promotes Balanced Regional Development
 Reduces Concentration of Economic Power
 Wealth Creation and Distribution
 Increasing Gross National Product and Per Capita Income
 Promotes Country's Export Trade
 Induces Backward and Forward Linkages
The reasons for the Failure
 Entrepreneurial success is not the result of a single person’s efforts.
There is always a team involved. The team is made up of other
investors, working partners, employees, vendors, and clients. All play
an important part in the success of the enterprise. Although other people
are involved, there is a tendency to believe that they play far less
important roles and are easily replaced. At the end of the day, success or
failure of the enterprise will be largely attributed to the entrepreneur.
Lack of Business Linkages
Lack of Experienced Management
Few Trained or Experienced Manpower
Poor Financial Management
Weak Marketing Efforts
Lack of Information
Improper Inventory Control
Rapid Growth