Entrepreneurship in The IT Era-B.V.Raghunandan

Department of Post-Graduate Studies in Commerce,

MPM Government First Grade College, Karkala

March 27, 2015

I Module: India, the Reality

• Indian thinking, unfriendly to business, born out of agriculture bent of mind

• British India: Imperialist enterprises and profit was a four letter word

• Democratic India: Crony capitalism and Inspector Raj

• Arrogant Bureaucracy, Inefficient Government Departments and Corrupt Systems

Unprofessional Public Life

• Multiplicity of religions, castes and sub-castes leading to the huge number of public holidays

• Numerous rituals at the cost of office work

• Tour-prone, leisurely life-prone, and uncommitted organised work force

• In the recent times, health problems

• Disregard for public property• Craze of cricket

India, a Super-power? Requirements

• A Super-power requires a strong government

• Law & Order is rarely disturbed and the culprits are booked every time

• Powerful police force, intelligence agencies, central forces

• Effective judicial system• Independent media• Manufacturing Hub

Module II: Internet Business

• Internet is a network of networks

• Owned by US Government operated through thirteen route servers

• Satellites and OFCs are widely used for transmission of data digitally

• Convergence of Technologies

• Different Businesses

Net Enabled Business

• Business that can not exist without Internet

• Search Engines like Google, Internet Explorer, Fire-fox

• Mailing Services: G’mail, yahoo, Hotmail

• Content Providers: YouTube, Torrent, Hungama

• Software Providers: Softonic, and websites of companies

• Social media: Facebook, Twitter, Linked-In, What’s App

• Cloud Computation

Nature of Net-Enabled Business

• Service is free-the visitor or the user is not charged anything

• Main revenue is from advertisement

• Business value is the size of database (number of ye-balls)

• Not regulated by governments

• International operations• No license to set up a

business

Net-Leveraged Business

• Counselling & Intermediation for marriage, placement, travel and tourism, ticket-booking,

• Fleet operations like taxi-srvice• Portals for sales by manufacturers• Dotcom companies like Flipkart, SnapDeal, OLX, Amazon,• Information services: JustDial.com• Banking & Financial Services

Problems of Brick & Mortar

Business

• Difficulty of obtaining licenses• Heavy taxation and problems created by taxation• Difficulty of scaling up the operations• Huge establishment expenses• Too many procedural clearances from government

departments• HR Problems• Environmental Issues

Why to be an Entrepreneur?

• Regional development

• Evenly spread employment generation

• Stopping the migration of productive population to cities

• Occupation in your native place itself

• Institutions that help in setting up an industrial units-government initiative

• Private Equity and Venture capital

Steps Involved

• Generate a business idea• Explore the feasibilty• Put together a team• Prepare a business plan• Plan the capital structure(plan for equity only• Identify the investors in your project• Approach the investors and present the idea

Difficulties

• Getting a reliable team

• Selling your idea to the investors

• Financing the business until it develops a critical mass

• Uncertainties, risks and unexpected turn of events

Qualities to be Developed

• Hard Work• Dreaming Big• Self-Confidence• Team Player• Good Communication Ability• Character and Integrity• Treating People with dignity

Campus Agenda

• 100% Attendance in the class

• Participation in College and Inter-collegiate Events

• Maintaining healthy food habits and sleeping habits

• An alert, quickly reactive and absorbing sound mind

• Participation in sports

THANK YOU