Entrepreneurship is a skill, the resultant of a mix of many qualities, traits and competencies, Entrepreneurship must be a cluster of many entrepreneurial people devoted to their respective ventures. Entrepreneurship is nothing unless entrepreneurs give a creative response to the environment and undertake to establish their enterprise. But devoted, imaginative, hard-working, creative and competent entrepreneurs are not enough to further the process of entrepreneurship.
Entrepreneurship refers to a process of actions taken by entrepreneur in a specific environment. We can say that entrepreneurship is sum total of entrepreneur and his environment. We have studied both the aspects of entrepreneurship—and environment —in separate chapters. Let us now study that what is obstructing the growth of entrepreneurship. Is it poor entrepreneurs or unhealthy environmental factors or both ?
Undoubtedly, entrepreneurship growth in India is slow as compared to other countries. Women’s entrepreneurship is still slower and rather negligible.
As far as development of entrepreneurship is concerned, the factors responsible for its slow growth are :
(i) Incompetence and poor management.
(ii) Low level of commitment.
(iii) Restrictions imposed by custom and tradition.
(iv) Involvement of high risk.
(v) Socio-cultural rigidities.
(vi) Lack of motivation.
(vii) Lack of infrastructural facilities.
(viii) Lack of communication network.
(ix) Absence of entrepreneurial aptitude.
(x) Low status of businessmen.
(xi) Market imperfections.
(xii) Legal formalities involved to set up a unit.
(xiii) Low quantity products.
(xiv) Low package of salaries to employees.