Essay on the importance of Government, Technological and Financial factors for business

 

Government Factors

The growth and emergence of entrepreneurship is greatly influenced by policies of government. The government can assist the growth of entrepreneurship by providing positive and friendly environment whereas the negative attitude can adversely influence the growth of entrepreneurship.

The government has to provide supportive actions through industrial policies and industrial laws. The government regulates the entrepreneurial activities in the country. The entrepreneurs have to operate in the legal circle created by the government.

Government policies influence all the decisions of the entrepreneurs regarding what to produce, how much to produce, of what quality to produce, where to produce and for whom to produce.

Technological Factors:

In the modern competitive world, entrepreneur has to consider the technological improvements provide waste opportunities to develop and produce new products to entrepreneurs.

The high level of technical training may enable the entrepreneurs to use their entrepreneurial talent more effectively and efficiently.

Financial factors:

Financial resources act as a motivating force for boosting the morale of the young entrepreneurs to set up their own enterprises. Various types of subsidies, concessions and facilities are extended to attract entrepreneurs in backward areas.

The Various States Government has floated various schemes aimed at providing adequate financial assistance to the entrepreneurs on easy terms and at low rate of interest.