merged_presentatation objectives of entrepreneurship

OBIECTIVES OF ENTREPRENEURSHIP

1. OBJECTIVES OF ENTREPRENEURSHIP

2. ECONOMIC OBJECTIVES Profit Earning Profit is required to face uncertainties, for existence, expansion and diversification of business Investors want adequate returns, workers want higher wages & entrepreneur needs money for reinvesting Profit motive does not mean exploitation of consumers by charging higher prices Reasonable profit i.e. beneficial to business & society

3. Cont.. Production of Goods Produce more goods to sell Estimate demand & produce accordingly Consider tastes, preferences & paying capacity of consumers

4. Cont.. Creating Markets Market: where exchange of goods & services takes place AND target customer segments Marketing: efforts for transferring the ownership & ease physical distribution Search new consumers & retain old consumers

5. Cont.. Technological Improvements Entrepreneur should strive to use latest method of production With technology – offer good quality products at lower prices – improved productivity & reduced cost Cope with changing business world

6. HUMAN OBJECTIVES Welfare of Employees Employees help in increasing productivity – they should get their due share in form of bonus, allowances, perks etc. Productivity to be linked with incentive schemes Welfare of workers: adequate compensation, physical facilities, incentives/bonus, allowances/perks, appreciation, unbiased treatment

7. Cont.. Satisfaction of Consumers Quality products at reasonable prices Weightage to tastes, requirements & likings of consumers Customer satisfaction – main objectives besides profit Customer Delight : pre & post sale services, no fake promises, no unfair practice, generate value etc.

8. Cont.. Satisfaction of Shareholders Reasonable return on money invested by shareholders Money should not be misused by the management Shareholders must get voting rights where applicable & access to information about business

9. SOCIAL OBJECTIVES Availability of Goods Ensure supply of goods to meet requirements Estimate demand & adjust production Supply of Quality Products Supply of Quality products at reasonable price Supply of adulterated/harmful/poor quality product is wrong Cooperation with Government Follow govt. rules Adopt govt. policies

10. Cont.. Creation of Employment Create more & more job opportunities Utilize Resources Properly Optimum use of scarce resources Not to damage or misuse natural resources – no wastage Use improved method of production to increase productivity

11. ORGANIC OBJECTIVES Growth Enterprise passes through various stages Utilize resources to plough back profits to expand & diversify Survival / Sustain Do activities which benefit society Create demand & new markets Retain older market Face challenges: competition, govt. policies, environmental changes etc.

12. Cont.. Prestige / Recognition Good rapport with suppliers & dealers Supply quality products at reasonable prices Pay taxes & follow govt. rules Create brand value

13. NATIONAL OBJECTIVES Employment Generation Pay Taxes on time & follow govt. rules/policies Rural Development Start or expand business in rural or backward areas. Eg . Pilani – Birlas , Jamshedpur – TATA etc. Provide employment to rural people

14. Cont.. Development of Small Business Encourage small ancillary business by buying raw material or intermediate goods from them Eg . Ludhiana Woolen market gave rise to needles & thread manufactures/dealers National Self- Sufficiency Increased Production – Reduce Import Requirements – Generate Exports – Earn Foreign Exchange – Self-Reliant

15. Cont.. Development of Skilled Personnel Training to employees for developing or improving their skills

16. FUNCTIONS OF ENTREPRENEUR

17. INTRODUCTION The word ‘entrepreneur' is derived from the French word ‘ entreprendre ’ which means ‘to undertake’. ‘Entrepreneur’ is a person who performs a process called ‘Entrepreneurship’ to create a business called ‘Enterprise’ Entrepreneur is essentially a business leader and the function performed by him is Entrepreneurship Entrepreneurship is the mission whereas Entrepreneur is the missionary

18. ENTREPRENEURSHIP 2 According to National Commission on Entrepreneurship, “Entrepreneurship is the process of uncovering and developing an opportunity to create value through innovation” . Entrepreneurship – a process of creating and managing an innovative organization by taking risks for carrying out business activities with a purpose of generating wealth.

19. ENTREPRENEUR 3 As per Zimmerer and Scarborough, “ Entrepreneur is one who creates a new business in the face of risk and uncertainty for the purpose of achieving profit and growth by identifying significant opportunities and assembling the necessary resources to capitalize on them” Entrepreneur – a person who innovates, takes risk, grabs opportunity, collects money and resources, build up a business organization, and take all initiatives to manage and sustain the business.

20. ENTREPRENEURSHIP ROLE 4 Vital component of an economy Developed countries like USA, Russia and Japan support the fact –entrepreneurship is the cause for the economic development in their country Most powerful weapon in the hands of a nation to fight poverty and unemployment. Multiple roles by providing a number of benefits for the development of Indian economy

21. Cont.. 5

22. CHARACTERISTICS Calculated Risk-taker Innovator Organiser Creative Achievement Motivated Technically Competent Self-confident Socially Responsible Optimistic Equipped with Capability to drive

23. 11. Blessed with Mental Ability Human Relations Ability Communication Ability Decision-Making Business Planning Visionary Entrepreneur make significant differences Ability to Spot and Exploit Opportunities Courage to Face Adversities Leadership---An essential trait of the entrepreneur

24. INTRAPRENEUR The term ‘intrapreneur’ was coined in the United States of America in the late seventies. Gifford Pinchot defined intrapreneurs as the persons who resigned from their well paid executive positions to launch their own ventures. Gifford devised the way by which such executives could be retained in the industry and their entrepreneurial urge was also satisfied by their bosses. So a system was devised whereby such executives would operate as entrepreneurs with full independence and autonomy but with in the organisation.

25. Difference between entrepreneur and intrapreneur An entrepreneur is an independence person who starts his venture and bears full risk of his failure and enjoys the fruit of his success whereas intrapreneur is partially independent and is sponsored by the corporation in which he is working. He is also not liable to bear the losses in case of his failure. An entrepreneur raises the finance from various sources and also guarantees their return whereas an intrapreneur does not own responsibility to raise the capital or to return it. An entrepreneur has no relation with any organisation whereas an intrapreneur operates within the organisation where he is working.

26. Forms of Ownership of Business

27. Three basic forms of business ownership Sole proprietorship Partnership Corporation Depends on needs & goals Limited Liability Company

28. Sole proprietorship An Indian Citizen Sole trader is a person who owns and operates their own business. May or may not employ other people. Sole trader is usually a relatively small business with little capital available for expansion Capital comes from one source and that is the owner. Sole traders are common businesses.

29. Advantages of sole proprietorships Easy and inexpensive to create. Government intervention is minimal. Owner makes all business decisions & has control over all aspects of the business. Flexibility in scheduling to meet owner’s needs. Easy to establish and run Total control Flexibility

30. Advantages of sole proprietorships cont. Owner receives all profits. Privacy – owner is the only one who knows details of the business Secret ideas, formulas, or recipes Ability to act quickly in making decisions – no approval from others

31. Advantages of sole proprietorships cont. Tax advantages Business itself pays no taxes Taxes are paid as personal income of owner which is usually lower than corporate taxes Easy to close/dissolve Pay employees and creditors Sell your equipment Notify customers if possible

32. Disadvantages of sole proprietorships Owner has unlimited liability for all debts Unlimited liability : The debts of the business may be paid from the personal assets of the owner. If business debt is not paid with business income, bill collectors can take personal assets (home, car) Difficult to raise capital. Banks/lenders consider sole proprietorships to be a high-risk investment Needs include paying employees, purchasing equipment & inventory, & running the business

33. Disadvantages of sole proprietorships Sole proprietorship is limited by his/her skills and abilities. Uncertain life You are “it” – illness or injury that prevents you from working may cause you to close / lose business Bankruptcy will dissolve your business The death of the owner automatically dissolves the business. Long hours of working Difficult to avail economies of scale

34. Partnership Partnership is a type of business where 2 or more people agree to own, run and trade, Partnerships require a high degree of trust and are very common. When setting up a business a person has to decide whether to set up a business on their own or with others. How much control they want over the business Are they prepared to share the profit Raise necessary capital to start up the business by themselves

35. Type of Partnership General Partnership Each Partner has a right to take decision In case of loss due to the act of one partner, the assets of both the partners can be attached. Partnership at will No time limit for dissolving Particular Partnerships Created for a specific purpose

36. Limited Liability Partnership Corporate form of Organisation Liability is limited to each partner according to the agreed contribution to the business Personal Property can not be attached to pay debts Governed under Limited Liability Partnership act 2008

37. Type of Partners Active or Working Partner Actively participates in running the business As per the agreement, he can either draw a salary of higher profits than his contribution Dormant or Sleeping Partner Not involved in daily management Can be consulted while taking major decisions Generally high investment

38. Nominal Partner Lends his name to take advantage of reputation Does not have real interest Does not have right to profit

39. Advantages of partnerships Fairly easy & inexpensive to start May pay attorney if you develop a partnership agreement Combined resources Team with partners with different skills, experience, contacts, & capital Sharing responsibilities makes business run more efficiently & smoothly Increase the amount of capital to run the business. Lenders may be more willing to lend or extend credit Decreased Competition Combining like businesses will decrease or eliminate competition

40. Reduced expenses When two or more businesses combine, expenses are no longer being duplicated Ex. promotion, office space, supplies, utilities Business losses are shared by all partners. Each partner pays income tax on her/his individual share of the profit Privacy: Only tax authorities need to be told how much partners are earning and profit of the business

41. Disadvantages of partnerships Unlimited liability Each owner in a general partnership has unlimited liability. Each partner can lose personal assets to pay business debt Limited Capital Although partners may bring more capital to the business than sole proprietors, it is still limited to what each can contribute Some lenders may still be reluctant to lend large amounts

42. Difficulty in ending Withdrawing can be complicated if there is no written partnership agreement By law profits must be divided equally if no agreement Partnerships may lead to disagreements. May disagree on business goals, finances, responsibilities, & division of profits Can affect the efficiency of the business, morale of employees, & success or failure of the venture Developing a detailed partnership agreement often helps resolve the conflict

43. Uncertain life/Transferability Unless specified in a detailed partnership agreement, bankruptcy, death & the withdrawal or admittance of a new partner dissolves the partnership Remaining partners may start a new partnership if they have the money to buy the former partner’s share

44. Partnership: Deed of Partnership – is the legal contract, which sets out following: who the partners are capital brought into business by each partner What is the type of business How profits should be shared How many votes each partner has in any partnership meeting What happens if there is a withdrawal of a partner from the business

45. Company One person conceives business Secures the approval of more members to form a company Drafts a Memorandum of Association –Name, Head Office, Aims, Amount of share capital, Value of shares and Limited Liability Drafts – Article of Association – Rules and Regulations Registers with Registrar of Companies Raise Capital – shares, debentures, bonds

46. Private Limited Company Two members can form the Company. Maximum – 50 Members Transfer of shares is restricted Shares can be transferred only after the approval of other shareholders Minimum Paid up capital – 1 Lakh Prohibits entry of public Only two directors are required to form the company No Independent directors are required Must use ‘Private’ in the name

47. Public Limited Company Governed under Companies Act 2013 Minimum - Seven members can form the Company. Maximum – Unlimited Large financial resources Minimum Paid up capital – 5 Lakhs Company is owned by shareholders Shares are listed and traded at stock exchange Transfer of shares is not restricted Capital can be raised from the public Liability of Directors is limited

48. Public Limited Company Company has permanent existence Legally controlled A great amount of information has to be made public Easy to transfer ownership by selling shares It can be converted into Private limited company Public share holding can be bought back. The company is delisted

49. THANK YOU

50. ENTREPRENEURSHIP AND PROJECT MANAGEMENT Course Code: HS2802 Credits: 3 L-T-P: 2-1-0 Course Instructor: Dr. Shivani Gupta

51. Course Objective The main aim of this course is to make prospective engineers familiar with the concept of entrepreneurship & MSMEs. To provide knowledge about different aspects to be considered while formulating the business plan for a new entrepreneurial venture. This course also intends to create awareness among students about financial and marketing functions that is required for a new venture.

52. Course Outcome The main aim of this course is to make prospective engineers familiar with the concept of entrepreneurship & MSMEs. To provide knowledge about different aspects to be considered while formulating the business plan for a new entrepreneurial venture. This course also intends to create awareness among students about financial and marketing functions that is required for a new venture.

53. Evaluation Scheme Mid-Term : 20 Marks Quizzes : 10 Marks Assignments/Project/Presentation : 30 Marks End-Term : 40 Marks

54.   India is among the top five economies where it is easier to begin a new business .   India is ranked 63 among 190 economies in the ease of doing business , according to the latest World Bank annual ratings.     India retains 40th rank out of 132 economies in the Global Innovation Index 2024  rankings published by the World Intellectual Property Organization.   India is home to  111 unicorns  with a total valuation of $ 349.67 Bn.  

55. THANK YOU

56. Micro, Small, and Medium Enterprises (MSMEs)

57. Micro , Small and Medium Enterprises 2 MSMEs are the backbone of a developing economy like India, contributing significantly to employment, GDP, and innovation. ✅ Employment Generation : MSMEs employ over 110 million people in India, making them the second-largest employment provider after agriculture . ✅ GDP Contribution : MSMEs contribute around 30% to India’s GDP and 50% to total exports . ✅ Innovation & Startups : Many successful startups today started as small businesses before scaling up.

58. Some businesses which were once well- known MSMEs around you! 3

59. Current Landscape of MSME in India In recent years, the sector has displayed remarkable resilience, with its share in the country’s Gross Value Added (GVA) increasing from 27.3% in 2020- 21 to 29.6% in 2021- 22 and 30.1% in 2022- 23 , highlighting its growing role in national economic output . 4

60. Current Landscape of MSME in India Exports from MSMEs have seen substantial growth , rising from ₹ 3.95 lakh crore in 2020- 21 to ₹12.39 lakh crore in 2024- 25 . The number of exporting MSMEs has also surged , increasing from 52,849 in 2020- 21 to 1,73,350 in 2024- 25. 5

61. Current Landscape of MSME in India Their contribution to India’s total exports has steadily grown , reaching 43.59% in 2022- 23, 45.73% in 2023- 24, and 45.79% in 2024- 25 (up to May 2024) . These trends underscore the sector’s increasing integration into global trade and its potential to drive India’s position as a manufacturing and export hub . 6

62. 7 Definition- Micro , Small and Medium Enterprises According to The Micro, Small and Medium Enterprises Development Act 2006 (MSME Act): Enterprise means an industrial undertaking or a business concern or any other establishment engaged in the manufacture or production of goods, in any manner pertaining to any industry specified in the first schedule to the Industries (Development and Regulation ) Act 1951 engaged in providing or rendering of any service or services.

63. Definition- Micro , Small and Medium Enterprises According to The Micro, Small and Medium Enterprises Development Act 2006 (MSME Act): Enterprise means Manufacturing Enterprise Engaged in the manufacture or production of goods Service Enterprise Engaged in providing or rendering of services 8

64. Definition- Micro , Small and Medium Enterprises According to the latest MSME classification by the Government of India (as of July 2020), MSMEs are categorized based on investment in plant & machinery and annual turnover : Category Investment Limit Annual Turnover Limit Micro Enterprise Up to ₹1 crore Up to ₹5 crore Small Enterprise Up to ₹10 crore Up to ₹50 crore Medium Enterprise Up to ₹50 crore Up to ₹250 crore 9

65. Budget 2025 Announcement for MSMEs In the Union Budget 2025, Finance Minister Nirmala Sitharaman announced Revised MSME Classification Criteria. The investment limit for MSMEs has been increased by 2.5 times, and the turnover limit by 2 times. This is expected to improve efficiency, technological adoption, and employment generation.

66. 11 Government Support & Schemes for MSMEs CREDIT AND FINANCE SCHEMES MUDRA Loans (Micro Units Development & Refinance Agency) ✅ Provides loans up to ₹10 lakh to MSMEs without collateral. ✅ Three categories : Shishu (Up to ₹50,000) – For very small businesses. Kishor (₹50,000 – ₹5 lakh) – For growing MSMEs. Tarun (₹5 lakh – ₹10 lakh) – For well- established MSMEs. ✅ Beneficiaries: Small retailers, artisans, manufacturing units, service providers.

67. 12 Government Support & Schemes for MSMEs CREDIT AND FINANCE SCHEMES CGTMSE (Credit Guarantee Fund Scheme for Micro and Small Enterprises) ✅ Collateral- free loans for MSMEs up to ₹2 crore. ✅ Encourages banks to lend to MSMEs without requiring heavy security. ✅ Beneficiaries: Small businesses, first- time entrepreneurs, women- led enterprises.

68. 13 Government Support & Schemes for MSMEs SUBSIDIES AND GRANTS PMEGP (Prime Minister’s Employment Generation Programme) ✅ Provides subsidies for setting up MSMEs , covering 15- 35% of project costs . ✅ Encourages self-employment and rural entrepreneurship . ✅ Applicable to both manufacturing and service sectors .

69. 14 Government Support & Schemes for MSMEs SKILL DEVELOPMENT AND TRAINING SCHEMES SFURTI (Scheme of Fund for Regeneration of Traditional Industries) ✅ Helps revive traditional industries like handicrafts and khadi. ✅ Provides financial and technological assistance . ASPIRE (A Scheme for Promotion of Innovation, Rural Industries & Entrepreneurship) ✅ Supports rural startups and agri- business MSMEs . ✅ Funds business incubation centers to encourage innovation.

70. ✅ Helps MSMEs get their dues from large corporations faster. 15 Government Support & Schemes for MSMEs DIGITAL TRANSFORMATION AND MARKET ACCESS MSME Sambandh ✅ Helps MSMEs get government contracts by ensuring priority procurement . ✅ Ensures corporate buyers support MSMEs by sourcing from them. MSME Samadhaan ✅ Provides an online platform to resolve payment delays .

71. Government Support & Schemes for MSMEs OTHER SCHEMES Scheme for First- Time Entrepreneurs: A new scheme will be launched to support 5 lakh first- time entrepreneurs, including women, Scheduled Castes, and Scheduled Tribes. This initiative will provide term loans of up to ₹2 crore over the next 5 years. Support for Labour- Intensive Sectors Footwear and Leather Sectors : A Focus Product Scheme will support design capacity, component manufacturing, and production of non- leather quality footwear, aiming to create employment for 22 lakh people and generate a turnover of ₹4 lakh crore. 16

72. Government Support & Schemes for MSMEs OTHER SCHEMES Toy Industry: A scheme to position India as a global hub for sustainable toy manufacturing under the 'Made in India' brand is set to enhance domestic manufacturing capabilities and encourage investment in high-quality, sustainable production practices. Support for Food Processing : The establishment of a National Institute of Food Technology in Bihar will promote enhanced income for farmers. Additionally, it aims to provide skill development, entrepreneurship, and employment opportunities for the youth. 17

73. Government Support & Schemes for MSMEs OTHER SCHEMES Enhancing Credit Access for MSMEs and Startups: To improve access to credit, the credit guarantee cover will be enhanced as follows: Micro and Small Enterprises: The cover will be increased from ₹5 crore to ₹10 crore, enabling an additional ₹1.5 lakh crore in credit over the next 5 years. Startups: The cover will be raised from ₹10 crore to ₹20 crore, with a reduced guarantee fee of 1% for loans in 27 key sectors crucial for Atmanirbhar Bharat. Exporter MSMEs: The credit guarantee cover for well- run exporter MSMEs will be extended for term loans up to ₹20 crore. 18

74. Category Current Credit Guarantee Cover ( ₹ . in Crore) Revised Credit Guarantee Cover ( ₹ . in Crore) MSEs 5 10 Startups 10 20 Exporter MSMEs For Term Loans Up to Rs.20 Crore - These measures aim to strengthen the MSME sector promote entrepreneurship and boost manufacturing and exports contributing to India's economic gro w th .

75. “Starting a business is not just about funding— it also requires the right skills, mindset, and knowledge . This is where Entrepreneurial Development Programmes (EDPs) come in.”

76. EDP – Definition and Significance EDPs are specialized training programs designed to develop entrepreneurs by providing them with the skills, knowledge, and confidence to start and manage their businesses effectively. Significance: Not everyone is born with entrepreneurial skills— they can be learned. Helps individuals identify opportunities, take calculated risks, and manage businesses efficiently. Plays a crucial role in economic growth by fostering self- employment and innovation. 21

77. EDP – Components Skill Development – Teaching business fundamentals like marketing, finance, and legal compliance. Capacity Building – Enhancing decision- making, leadership, and problem- solving abilities. Innovation Promotion – Encouraging entrepreneurs to think creatively and develop unique products/services. Self- Employment & Job Creation – Enabling individuals to create businesses that, in turn, generate employment. 5. Risk Management – Helping entrepreneurs identify, assess, and mitigate business risks. 22

78. 23 EDP – Phases PHASE I Pre- Training Phase - Identification of Entrepreneurs Identifying potential entrepreneurs through interviews, psychometric tests, or screening. Evaluating their passion, business ideas, and risk- taking abilities. Helping them define a viable business idea based on market demand.

79. 24 EDP – Phases PHASE II Training Phase – Core Business Skills Business Planning – How to create a business model, marketing strategy, and financial plan. Risk- Taking & Decision- Making – Training on how to handle uncertainty and competition. Resource Management – Learning how to manage capital, human resources, and supply chains.

80. 25 EDP – Phases PHASE III Post- Training Phase – Handholding & Mentoring After training, entrepreneurs need continuous support to apply what they’ve learned. Mentorship, networking, and access to funding play a critical role in success. Helps businesses sustain and grow beyond the initial stage.

81. Role of Government Organisations in Entrepreneurship Development The government provides training, infrastructure, technology, finance, machineries, raw material support etc. The government also ensures business- friendly policies like Make in India and introducing tax system reforms like the Goods and Services Tax (GST). India is classified as an easy place to do business in the Global Ease of Doing Business Index due to business- friendly policies and support of the government. Some of the important government organisations. District Industries Centres (DICs) MSME Development Institutes (MSME- DIs) Khadi and Village Industries Commission (KVIC) National Small Industries Corporation (NSIC) National Bank for Agriculture and Rural Development (NABARD) Small Industries Development Bank of India (SIDBI) State Financial Corporations (SFCs) Skill Development Centres Entrepreneurship Development Institutes Export Promotion Councils and Commodity Boards 26

82. “EDPs bridge the gap between ideas and execution , enabling potential entrepreneurs to become job creators.”

83. Problems of Entrepreneurs

84. Problems Lack of Support Incompetent Management Lack of Managerial Competency Low Level of Commitment Lack of spirit of commitment, hard work & dedication due to lack of support & financial help Shortage of Resources Lack of resources like raw material, labour, land, coal, oil & power in rural & remote areas of good quality

85. Cont.. Shortage of Infrastructural Facilities Lack of facilities like location, communication, transportation, insurance, telecommunication, warehousing Lack of Entrepreneurial Aptitude Lack of motivation Lack of innovation Lack of risk taking etc…..

86. Cont.. Complicated Procedures Legal formalities for govt. approval, license, project report preparation, registration etc. High Degree of Risk Risk of decline in demand, change in govt. policies, tastes/technology, price fluctuations, change in competition Marketing Problems Problem to reach last mile customers Problem of middlemen

87. Cont.. Lack of Information needs, funds About business trends, customer availability, govt. policies etc. Lack of Training Facilities Training for project identification, motivation, technical know-how, management, finance, accounting etc. Lack of Advanced Technology Lack of advanced & latest technology Lack of technical know-how

88. Cont.. Lack of Finance Finance availability Awareness about financial schemes & sources Financial knowledge Lack of Viable Concept In- feasible idea Lack of application

89. WOMEN ENTREPRENEURSHIP

90. Meaning According to Govt. of India, “An enterprise owned and controlled by women having a minimum financial interest of 51% of capital and giving at least 51% of employment generated in the enterprise to women”. Women who think of a business enterprise, initiate it, organize and combine the factors of production, operate the enterprise and undertake risk and handle economic uncertainty involved in running a business enterprise.

91. Cont.. Woman or group of women who initiate, organize and run a business enterprise. Women who innovate, initiate or adopt business activity

92. Factors Push Factors Death of Bread Earner – Eg . Priya Paul – The Park Hotels Less Family Income Pull Factors To utilize free time or education Desire to evaluate their talent Need of women liberation To gain recognition, fame & status To get economic independence, mobility Urge to do something new

93. Cont.. Motivational Factors Economic Necessity Independence Education & Qualification Family Occupation Success Stories Govt. Policies Facilitating Factors Adequate Financial Facilities Experienced & Skilled People at Work Training Programs Cooperation of Family Network

94. Problems Patriarchal Society Male dominating society Role conflicts Family factor for married women Family Conflicts Dual Role Time Management between home & work Inability to give time to household work, children, family etc. Absence of Entrepreneurial Aptitude Women take training through EDPs Aptitude to be verified through tests

95. Cont.. Marketing Problems Marketing is important for selling the product Has to do market survey, access markets, travel, meet intermediaries Women has less bargaining power so they depend largely upon middlemen who draw heavy margins High margins leads to increase in price Middlemen exploit women entrepreneurs as its difficult for women to capture markets without their help Heavy Competition Face challenges from organized enterprises

96. Cont.. Financial Problems Obtaining support of bankers, managing working capital and lack of funds are problems Acc. to a report by UNIDO – women’s loans repayment are higher than men, but still women face more difficulty in obtaining credit Discriminatory attitude of financial institutions Complicated procedures Requirement of collateral Delay in obtaining loan & running about

97. Cont.. Social Barriers More barriers in rural areas Castes & religion barriers Lack of Availability Raw Materials, Labour , Infrastructure Facilities etc. High Cost of Production Lack of Family Support Difficult Legal Formalities

98. Cont.. Lack of Information Availability of Raw Materials, Labour & other resources Awareness about Availability of Finance & its use Awareness about govt. initiatives & benefits Information about development of IT Lack of Self-Confidence Lack confidence Hesitate in taking risks Strive hard to maintain balance Has to sacrifice entrepreneurial urge to strike balance

99. Cont.. Lack of Technology Access to Technology – availability, cost & how to use Lack information about availability, benefits and use Lack technical know-how Lack of technical training Lack of Training About business skills, management, technical, financial knowledge Discriminating Treatment Lack of Freedom of Expression

100. Cont.. Lack of Education Travelling Low Risk Taking Ability