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The IUP Journal of Entrepreneurship Development

Jun'13

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Articles

Relating an Entrepreneur’s Background to the Type of Proposed Innovation in VCs’ Investment Decisions

--Abdilda A Shamenov and Robert A Phillips

This paper aims to explore the various aspects of entrepreneurs’ background required for successful ventures that reflect different types of innovation in the view of Venture Capitalists (VCs). The classification of the types of innovation was based on Abernathy and Clarks’ (1985) transilience map. The qualitative data was collected by way of semi-structured interviews with four experienced VCs, each as a single unit of a multiple-case study method. The analysis revealed that the most relevant factors of entrepreneurs’ background—the level and nature of formal education; entrepreneurial experience in terms of having business skills; and industry-specific experience of technical function—are not equally important for ventures with different modes of innovation. The findings suggested that the level of formal education is less important for the nichecreation innovation, but for ventures of architectural and revolutionary innovation type, high levels of technical education are important. Industryspecific experience of technical function is preferred but is less important for niche-creation innovation, while it is highly important for ventures of architectural and revolutionary type of innovation. Entrepreneurial experience in terms of having business skills is preferred but is less important for the revolutionary type of innovation, while it is highly important for ventures of niche-creation and architectural innovation type. Ventures of regular innovation were considered unattractive for investments by the VCs. This study implies that the VCs should assess not only the quality of the entrepreneurs’ background during the selection process and fit to the product and market criteria, but also the type of innovation that is being undertaken.

An Investigation into Issues Confronting Rural Women Entrepreneurship

--Alok Kumar Rai and Medha Srivastava

There have been incessant efforts on the part of the government as well as the other development-oriented agencies to promote the development of women by creating awareness about their education, offering potential job opportunities and encouraging their active participation in matters of national interest, leading to a significant increase in the number of women taking up top positions in the modern corporate world, as well as in other fields like politics, defense and social welfare initiatives. However, women as entrepreneurs have not yet gained wide recognition and acceptance in the Indian business space, especially in the rural sector. This paper aims to assess the problems confronting the rural women entrepreneurs of Varanasi, and to identify the factors that play a crucial role in impeding their entrepreneurial endeavor. The study uses a closed-ended structured questionnaire duly tested for validity and reliability. The findings enable the researchers and governments to understand the basic impediments to women entrepreneurial activities in rural areas. The magnitude of extensive research in problems of women entrepreneurs ensure many benefits to Indian economy, especially rural economy.

Women Entrepreneurship in Agricultural Allied Activities: A Study in North Karnataka

--A S Shiralashetti

Recently, the role of women in the Indian society has changed considerably. Women today are no longer confined to kitchen and the four walls of the house. They are actively participating in every economic activity and have successfully proved themselves to be equally productive and in many cases, even more productive than men. Women are the backbone of many successful entrepreneurs, educationists, professionals, scientists and economists. As per the 2011 census, in India, women constitute about 48.46% of the total population. Therefore, development of the Indian economy is impossible if women who constitute a large segment of the society are neglected. Men and women need to work jointly and individually for the contributing to the family’s welfare in particular, and the country’s welfare in general. The present study is based on the primary data collected from 1250 women entrepreneurs of north Karnataka. The study aims to examine the relation between the demographic factors of women entrepreneurs and the agricultural allied activities undertaken by them.

Entrepreneurship and Micro and Small Enterprises Growth in Assam

--Dilip Saikia and Kalyani Kangkana Das

This paper examines the structure and growth of Micro and Small Enterprises (MSE) sector in Assam. The growth of this sector is analyzed by different enterprise types in terms of different indicators such as number of units, employment, value added and fixed capital. The analysis based on the National Sample Survey data on unorganized manufacturing sector, carried out for the period 1994-95 to 2005-06, reveals that Assam’s MSE sector had witnessed a drastic decline during the period 1994-95 to 2000-01, while significant growth was experienced during 2000-01 to 2005-06. However, the growth rates varied across different enterprises. The findings would help in formulating policies for entrepreneurship development and development of the MSE sector in the state.

Does Entrepreneurial Education Enhance the Entrepreneurial Drive of Business Students?

--Sandeep Vij and Pooja Sharma

This study examines the Entrepreneurial Drive (ED) of business students, explores the effects of demographics on the ED of students, and compares the level of ED among groups of students who have or who have not undergone some training on entrepreneurship. An ED Scale developed by Florin et al. (2007) was used to measure the ED of the students. The scale was adapted and validated for the Indian context using Confirmatory Factor Analysis. The results show that gender and family type do not significantly affect the ED of business students. However, the mean score for the students (pre-entrepreneurial education and post-entrepreneurial education) was found to be significant for two dimensions (Self-Efficacy [SE] and Non-Conformity [NCR]) out of the five dimensions of ED. The study proves that entrepreneurial education enhances self-efficacy of the students and also gives them confidence to be nonconformists. For three other dimensions of ED, ‘Preference for innovation’(PI), ‘Achievement Motivation’ (MA) and ‘Proactive Disposition’ (PRD), there was hardly any change in the mean score values after entrepreneurial education. The study explains the rationale for having entrepreneurship courses and workshops in the curriculum of business students. Suggestions are also given for trainers and public policy makers concerned with entrepreneurial development.