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Entrepreneurship: A Visible Long-Term Solution For Unemployment Risk-taking and a willingness to try new things are essential components of entrepreneurship

By Nimish Arora

Opinions expressed by Entrepreneur contributors are their own.

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The aptitude and preparedness to create, plan and manage a business enterprise along with all of its uncertainties in order to turn it profitable is what is meant by entrepreneurship. The creation of new firms is the most visible illustration of entrepreneurship. Without any doubt, unemployment has always been a factor that has hindered the development of society. The most effective tool to address this issue and to give the young generation more power is creating opportunities for entrepreneurship. The Indian government is working hard to create a robust startup environment in the wake of the pandemic. The government has established a ministry that is focused on aiding new enterprises and giving them vital expertise and other facilities in order to expand to support and benefit entrepreneurs.

In the recent past, the Indian government and Prime minister Narendra Modi has stressed on the importance of self-reliant Bharat and creating new opportunities for job creation. One of the important steps taken by the government to amplify the growth of start-ups and entrepreneurs is the Startup India initiative which is a flagship initiative of the government of India. It intends to build a strong ecosystem that is conducive to the growth of startup businesses, drive sustainable economic growth, and generate large-scale employment opportunities.

Entrepreneurship is a solution to the unemployment problem since it opens opportunities for new projects, businesses, alliances, etc. When an investor invests in a startup or venture, the entrepreneur is instantly allowed to grow their staff to scale the business and generate additional growth and employment opportunities. In contrast to corporate or big companies, who insist on hiring from renowned colleges or shortlisting candidates based on qualifications rather than capabilities, entrepreneurs are now willing to hire even resources who lack formal education or a degree but have the right attitude, skill set and willingness to learn. Below are some key factors that prove entrepreneurship is a visible long-term solution for unemployment in society:

Entrepreneurship generates new job opportunities: In today's economy, entrepreneurship is more important than ever, for creating new jobs and driving the economic growth of a country. A new business typically requires several promising and skilled employees to get it off the ground and scale rapidly.

Entrepreneurship helps to revitalize a community: Starting a business is just one aspect of entrepreneurship; another is reviving a community. When business owners make investments in their community, they contribute to boosting employment and the local economy.

Entrepreneurship helps to develop a sense of pride in the community in addition to producing jobs and strengthening the economy. People are more likely to desire to live and work in a place where successful enterprises are located. This sense of pride can contribute to community regeneration by recruiting new businesses and people. A new business can bring new life to a community, which can help in improving the local economy.

Entrepreneurs up the level of competition: Entrepreneurs increase competition for already-existing businesses by starting new ones. Lower prices and a wider selection of products as a result benefit consumers. A measure of market mobility has been created by researchers to show how new company creation affects already-existing businesses. A shift in the order of established companies according to their staff count denotes a change in market share and increased market mobility. This effect is most pronounced when taking into account entrepreneurial activities five years prior to the start-up, which suggests that start-ups have a significant time lag before they have an impact on market mobility. Furthermore, the creation of new businesses encourages existing businesses to perform better, which indirectly increases competition.

Entrepreneurship leads to innovation: Economic expansion and the creation of new jobs are both fuelled by innovation. Any economy that wants to succeed needs to have a strong entrepreneurship ecosystem. Entrepreneurs who have the ability to problem-solve creatively and outside the box are the most successful. This is what creates successful economies and prosperous enterprises.

Risk-taking and a willingness to try new things are essential components of entrepreneurship. Innovation is the key to success in any profession, and this is what drives it. Successful entrepreneurs are those who are always thinking of new methods to expand their operations and solve issues in novel ways.

Gauging at the entrepreneurship ecosystem, the best course of action for the government is to create institutions and policies for entrepreneurship development that harness the potential of young people and provide them with the skills and resources they need to succeed. The regulations should be designed in a way that covers that and encourages a risk-free innovative atmosphere for entrepreneurs to grow. Many young people today recognize the value of focusing on consistent business growth, assembling the best team possible, and giving that team the tools necessary to achieve that growth.

Nimish Arora

President, EO Gurgaon

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