Entrepreneurship

Development
MBA- 2nd Sem
Unit - 2
Women Entrepreneurship
“Somebody once said, educate a woman & u will educate a
family.”
We are saying empower a woman to become an
entrepreneur, & you will create an entire family of
entrepreneurs.
Women entrepreneurship is the need of the nation right
now, it is the surest quickest way to make INDIA a super
power.
Women entrepreneurs may be defined as “A women
or group of women who initiate, organize and run a
business enterprise”.

GI has defined “ An enterprise owned and controlled

by a women having a minimum financial interest of
51% of the capital & giving at least 51% of the
employment generated in the enterprise to women”.
 Imaginative

Features Of
Women Attribute to work hard
Entrepreneurs
Ability and desire to take risk

Profit earning capacity

Most women with small income are likely to

become entrepreneurs.
 To become economically independent
Why Women To establish their own enterprise
Become To establish their identity their society
Entrepreneurs To achieve excellency in their endeavor
To build confidence to themselves
To develop risk assuming ability
To claim equal status in society
To secure greater freedom & mobility Liking for
business
An urge to do something new
 • Accept
challenges
• Intelligent • Ambitious

Qualities Of • Educated • Hard work

Women
Entrepreneur
• Conscious • Patience

•
• Motivator
Adventurous
Facilitating Factors

Adequate
Innovative
financial Self satisfaction
thinking
facilities

Morale support
Co-operation
from friends &
from family
relatives
Opportunities

• Free entry into world trade

• Improved risk taking ability
• Govt of nations withdrawn some restrictions
• Technology & inventions spread into the world
• Benefits of specialization
• Social & cultural development
• Encouragement to innovations & inventions
Challenges

Problems of raising equity capital

Difficulty in borrowing fund

Problems of availing RM

Problems of TRIPS & TRIMS

Problems Of Women Entrepreneurs

Problem of Marketing Infrastructure Lack of

raw material problem problem awareness

Lack of
Lack of Lack of family Lack of risk
business
education support bearing ability
information

Limited Male
Competition
mobility dominance
Remedial Measures

Creating
Financial Simple legal Co-operation
awareness &
assistance formalities from agencies
education

Women
Training and Offering
Women’s cell entrepreneurs’
development concessions
association
Steps Taken By
the • Mahila Vikas Nidhi
• District industries center
Government • Rashtriya Mahila Kosh
• Training Programs
Mahila Vikas Under mahila vikas nidhi, a cumulative help
of Rs. 80.4 million was sanctioned, during the
Nidhi period 1990-2001 . Various training- cum
production centers set up by NGOs mostly
relate to activities like sericulture, spinning,
weaving, block printing, handloom products,
handicrafts etc.
District
Agencies DICs arrange various lectures and seminars
Centre etc. in girls colleges and technical institutes
to encourage them to set up their own
enterprises.
Rashtriya It was set up in 1993 to provide micro- credit
to poor women who had no access to
Mahila Khosh financial institution at reasonable rates of
interest with very low transaction costs and
simple procedures. It proved quite useful for
lower income group women.
Training The government of India has started various
training programs schemes exclusively for
Programmes self-employment of women. The training
programs include Support for Training and
Employment Programs of women (STEP) and
Development of Women and Children in
Rural Areas (DWCRA). 20
 Domestic Agencies:
• Small Industries Development Bank of India, SIDBI
• Industrial Development Bank of India (IDBI)
• Ministry of Small Scale Industries (SSI), Government of
Supporting India.
• National Bank for Agriculture Rural Development
Agencies (NABARD)
• Department of Women and Child Development (WCD),
Ministry of HRD, GOI
• Self Help Groups (SHG)
• Mahila Mandali
 International Agencies:

• United Nations Development Fund for Women (UNIFEM)

• Asian Development Bank (ADB)
Supporting • International Labour Organization (ILO)

Agencies • United Nations Conference on Trade and Development

(UNCTAD)
• Center for International Private Enterprises (CIPE), USA
• Swedish International Development Cooperation Agency
(SIDA), Sweden
• World Trade Organization (WTO)
 Association of Women Entrepreneurs of Karnataka(AWAKE)
Federation of Indian Women Entrepreneurs (FIWE)

Institutes Self-help Groups (SHGs)

Assisting Mahila Udyog Nidhi (MUN)

Women The Trade Related Entrepreneurship Association &
Entrepreneurs Development (TREAD)

BANK PF India’s Priyadarshini yojana Other Schemes

Ms. Shahnaz Husain

SHAHNAZ HUSAIN
 In 1977 she setup her own salon at her
house in delhi
 Initial investment 35000
 By 2002 the company had over 650 salons
around the world, employing 4200 people.
The network of the company was $100
million
Ms. Ekta
Kapoor
Ekta Kapoor born on 7 June 1975
 She is a television, film producer
and joint MD of Balaji telefilms.
 2012 Asia's social empowerment
award.
Ms. Indra Nooyi
Born on 28 October 1955 in Madras, Tamil Nadu
 Chairman and CEO of pepsico
 Nooyi has been named 2009 CEO of the year by
global supply chain leaders group
Ms. Neelam Dhawan
•Microsoft India managing director, leads Microsoft's
sales and marketing operations in the country. A
Stephanion (graduated in 1980), she passed out of
Delhi's Faculty of Management Studies in 1982.
• Back then, while she was keen to join FMCG majors
like Hindustan Lever and Asian Paints, both
companies rejected Dhawan as they did not want to
appoint women
Ms. Preetha Reddy
Managing director of apollo hospitals
 In sep 2012, she the was elected to the board as
independent director of medical technology
company Medtronic. She master's degree in public
administration from Annamalai university.
 Born on 1967
 she was nominated for the
economic times awards as the
businessperson of the year
(2002-2003)
 Paul has been conferred with
the padma shri award by govt of
India on eve of the republic day,
Jan 2012
Project-
Types,
Importance,
Phases
Project refers to the series of tasks that need to carried out in order to reach specific goal. It is an
activity that leads in creation of a unique good, service or a result.

Project is a temporary endeavor with a starting and ending deadline that is made for creating
tangible or intangible results. Many interrelated tasks are included in project that are pre planned
and performed periodically under certain conditions related to cost, quality and performance level.

These are the activities which are performed for some specific purpose and cannot be performed for
an indefinite time period. It is distinct from normal course of activities performed within the business
organization.

Project progresses in phases and its definition get refined at each of its phase. 
 1. Timeline: Every project is carried out for a definite period of time but
not for indefinite time period. It has a starting date which tells when
a project is initiated and a closing date that shows when it will be
completed fulfilling desired outcomes. 
2. Resources: Project is provided with a limited amount of resources in
terms of capital and manpower. It is the duty of project manager to
ensure that all resources are efficiently utilized so that they can
easily fulfill the requirements of project.
3. Unique Deliverable: Every projects finally results in a unique
Characteristic deliverable that may be either a product, service or other form of
result. Proper analysis of problem is must before commencing a

s Of Project
project so that its deliverables efficiently address the problem.
4. Tools: There are various tool which are employed by manager while
performing tasks related to a project. Network planning techniques
such as Critical Path Method (CPM) and Program Evaluation and
Review Technique (PERT), Gantt Charts are some of the tools used.
5. Progressive Elaboration: As the project work progresses,
investigation and improvement is available on a continuous basis
that leads to more comprehensive plans. This repetitive planning
process on the basis of investigations performed from time to time
leads to better control of project activities and ensure timely result.
Types Of Projects

1. Manufacturing Projects: Manufacturing
projects are the one that are carried on with
the motive of manufacturing products such
as car, train, airplane, machinery and many
more.

2. Construction Projects: Construction projects

are related to erection of buildings, tunnels,
roads, bridges etc. and also comprise of
petro-chemical and mining projects.
3. Research Projects: Research
projects are carried on by scientists
and researcher for developing a new
concept or an idea. Objectives of such
projects are difficult to establish and
also results are unpredictable.

4. Management Projects: These
projects involve management and
monitoring of activities. It may be
organization or re-origination of
activities that do not necessarily yield
a tangible result. 
 Importance Of Project
[Link] define plan before initiating: 
Planning has an efficient role in success of an
overall project. Project management focuses on
creating a well-defined plan from starting to end for
avoiding any chaos. Planning provides a path for
carrying out a project for attaining desired goals.

2. Establishes a schedule and process: 

Project schedule ensure that all activities are
performed timely and final delivery is made to user
on right time. In absence of schedule, project may
get delayed which may even overrun the expenses.

3. Encourages teamwork: 
Various people come together to work as a team for
completion of a project. They share their ideas,
knowledge and skills with each other that lead to
successful collaboration of team members leading
to success of project. 
4. Maximizes resources: Every resource be it a financial or a human resource,
all are quite expensive and need to be used efficiently. By employing
techniques of risk management and project tracking, project management
ensures all resources are economically used.

5. Control cost and quality: Project management keep an eye on all expenses

of project and quality of deliverables. It prepares a right budget for all
performing all task and ensures that all expenses remain within the budget
limit. Quality of deliverables is also checked whether it meet the established
standards or not. 

6. Provide opportunity for learning: Project management gives an

opportunity to learn out of failures which come in way of carrying out a
project. Every past experience and mistakes in past enhance the overall
knowledge of members which assists them in avoiding such mistakes in
future.
PHASES OF PROJECT
Phases Of Project

• Every project proceeds phase by phase and each phase have an

efficient role in completion of project. These phases are
collectively termed as project life cycle. These phases are
explained further: –
Project Initiation: 

It is the initial phase of project life cycle

which is concerned with measurement of
value and feasibility of project.
In this phase, a business case is developed
and project is defined at broad level.
Project is given due diligence by important
stakeholders for giving it final approval.
Once, it is approved then a project charter is
created defining the objective and
requirements of project.
Needs of business, stakeholders and a
business case should be included in this
charter.
2. Project Planning: After receiving
the green light for carrying out a
plan, a solid plan is formulated for
guiding team in performing
activities.
It is concerned with developing a
clear roadmap to be followed for
achieving the desired outcomes.
A proper plan instructs how to
acquire required resources, raise
funds and obtain needed materials.
It provides direction to team
regarding quality production, risk
handling, managing suppliers and
sharing benefits with stakeholders.
It also guides team members on
how to face or handle any obstacles
that may come in way of project.
Project plan clearly defines the
expense, timeframe and scope of
project.
3. Project Execution: 
Project execution is related with
actual implementation of project well-
framed plans.
It is a phase where team start
performing their work.
All resources are efficiently allocated,
and managers ensures that all team
members remained focused on their
roles.
Execution phase is dependent on
planning phase as all works and
efforts are derived from plan of
project.
 4. Project Monitoring and Control: 

After successfully executing all plans,

continuous monitoring and controlling
of project related activities become
essential to derive expected
outcomes.
Managers monitor the progress of
project and ensure that all activities
are going on track or not.
They try to detect any variations in
terms of allotted cost and time,
quality of deliverables and various
other aspects.
All necessary corrective measures are
taken to overcome these variations
for guaranteed delivery of results as
per the promise.
5. Project Closure: 
It is the last phase where project gets
completed and is handed over to customers.
Stakeholders are informed about its
completion and all resources are released
for other projects.
Here, team members evaluate the project
and learn about the mistakes or hardships
they came across while performing their
task. It will enhance their understanding that
will lead to building up of strong team for
carrying out more projects. 
Procedure To
Set Up a
Small Business
Enterprise
There are no limitations on who can become a great entrepreneur. You
don't need a lot of money in the bank or even business experience to
start something that could become the next major success.
What you do need is a solid plan and the drive to see it through.
Starting a business entails understanding and dealing with multiple
things. You have to juggle legal, financing, sales, and marketing to
intellectual property protection, liability protection, human resources,
and much more.
So always remember, starting a small business is not a small thing.
That is why we have this step-by-step guide, for the budding
entrepreneur, on how to start a new business.
1 - Identify a Business Idea

Finding a business idea is something you can approach by relying on time-

tested approaches that have worked for other entrepreneurs.
No matter whether you're looking to start a low-investment business on the
side or you'd prefer to go all-in on your idea, the best way to find a product to
sell includes strategies like:
• Mining your interests:  What do you like to do in your spare time? Are
there products you can sell that relate to your hobbies or that would solve a
common problem you have?
• Research existing products:  Peruse product reviews to see if there are
common complaints and frustrations about popular products and if you can
identify gaps in the market.
• Capitalize on trends: If you notice a particular product seems to be
popping up everywhere, or you have a great idea to help make the most of a
popular item, then you might be on to great online business ideas.
 2- Validate Your Business Idea
Once you have narrowed down on a business idea , it is critical to go through all the following questions to to validate it:
• How specific have you gone with your ideas?
• How would you measure your progress and success?
• Have you set milestones, and are they achievable?
• Are you providing a solution to customer's needs?
• What differentiates you from your competitors?
• What are your skills?
• How much capital do you have to risk?
• Are you fully invested in this?

Remember, all you need is one idea to get started. Many successful companies launched with a signature product and expanded
into complementary goods from there.
• Validating your small business might sound complicated, but it’s a matter of testing whether your customer is willing to
pay for your product before you sink too much time and money into it.
• Validating a small business is essential, irrespective of the type of business.
• Here are some examples that can help you figure out how to gauge market demand before getting in too deep.
• Set up a store to take pre-orders
• Launch a crowdfunding campaign
• Create a beta of your product or service to sell
3- Get a Memorable Business Name &
Logo

• One of the most fun parts of starting your own small

business is the name and the logo.
• Work on finding a name for your business that makes it
clear what you do, that’s short and memorable, and that isn’t
already in use.
• For designing a business logo, either engage a creative
designer online, or use one of the many tools available - 
like Canva - to design it yourself.

It isn’t an easy task, but it’s one that’s achievable with a bit
of effort and imagination.
A great business name and logo will usually have the following characteristics:

• Short and simple: You want customers to quickly recall your business name,
and the best way to do that is to avoid long names. One or two words is ideal,
although three to four short words can also work if they create a memorable
phrase.
• Different If your market research shows that everyone in the market seems to
have similar names, then best give that phrase a pass. Differentiation is the key
to stand out in your small business.
• Unique/Original: Beyond avoiding similar names, you’ll need to make sure
that your small business name is not in use by a competitor already. To do
that, run a free trademark search in the countries you’ll be doing business in,
and make sure to check Google and social media sites, too.
4 - Develop a Business Plan

A business plan is a living document that maps out the details of your
business. It covers:
1. What your business will sell,
2. How the company will be structured,
3. What the market looks like,
4. How you plan to sell your product or service,
5. What funding you'll need,
6. What your financial projections are, and
7. Which permits, leases, and other documentation will be required.
Writing a business plan helps validate and formalize your idea, and can
streamline the business-creation process by getting you to sit down and think
things through methodically.
5 - Understand Business Finances

• Starting any small business has a price, so you need to determine how
you will cover those costs.
• Do you have the means to fund your startup, or will you need to
borrow money? If you're planning to leave your current job to focus
on your business, do you have money put away to support yourself
until you make a profit?
• It's best to find out how much your startup costs will be.
• A clear view of your total investment can help you make important
projections, like when you will break even.
• Accurate records of your income and expenses will help you keep an
eye on cash flow and make for a smooth transition to working with
an accountant or bookkeeper later on.
Conducting a break-even analysis of your small business will help you have a
clear view of the following.
• Determine profitability This is generally every business owner's highest
interest. How much revenue do I need to generate to cover all my expenses?
Which products or services turn a profit, and which ones better left alone?
• Pricing a product or service: When most people think about pricing, they
consider their product costs and how competitors are pricing their products.
What are the fixed rates, what are the variable costs, and what is the total cost?
What is the cost of any physical goods, and what is the cost of labor?
• Analyze the data: What volumes of goods or services do you have to sell to be
profitable? How can I reduce my overall fixed costs? How can I reduce the
variable costs per unit? How can I improve sales?

Time invested in learning small business accounting and finance in the initial
stages can save you from legal and statutory hassles later on.
 6 - Choose the Right Bank for Your Small Business

• Choosing the right bank for your business comes down to the needs of
your small business. Writing down your banking needs can help narrow
your focus to what you should be looking for. Schedule meetings with
various banks and ask questions about how they work with small
businesses to find the best bank for your small business.
• Sometimes a local bank might be much more supportive of a small
business than global banks. Hence, it is vital to have an understanding of
where you stand with the bank requirements.
• Keeping your personal and business finances separate makes doing your
business taxes much more straightforward and can help you automate
some of the steps as well.
7 - Choose the Structure of Your Small Business

• Choosing the right business structure is about balancing the legal and
financial protection you need with flexibility.
• Your small business can be a sole proprietorship, a partnership, a
limited liability company (LLC), or a corporation. The business entity
you choose will impact many factors, from your business name to
your liability, to how you file your taxes.
• You may choose an initial business structure, and then reevaluate and
change it as your business grows and needs change.
There are a few factors you’ll need to consider.

• Where is your business located? Your country’s laws will outline the different
business structures you can form., and whether or not you need a business license
to get started.
• What kind of business are you running? Some structures are more suited to
businesses of a specific scale or within a particular industry. There might come a
time when you need to restructure your business to work with new partners. It’s not
uncommon for large businesses to ask that their suppliers or partners be
incorporated.
• How many people are involved? If you’re going it alone as a solo founder, you
may be able to look at streamlined options. Suppose you have a business partner or
multiple people with ownership in the company. In that case, you’ll need to look at
more advanced options to ensure everything is set up and shared appropriately.
Depending on your business’s complexity, it may be worth investing in a
consultation from an attorney or CPA to ensure you are making the right structure
choice for your business.
8 - Get Licenses and Permits

• Paperwork is a part of the process when you start

your own small business. No one wants to end up in
legal trouble. Your business is subject to the local
laws, as well as laws and regulations specific to your
industry.
• There are various small business licenses and
permits that may apply to your situation, depending
on the type of business you are starting and your
location. You will need to research what licenses and
permits apply to your business during the start-up
process. Investing time and money upfront to obtain
legal advice can save you from considerable
headaches down the road.
 9 - Decide and Pick the Software Systems for Your Small Business

• One of the best ways to reduce the heavy lifting involved in running a
business and set yourself up for future success is choosing software
that can help you automate or streamline the things you need to do.
• Often, when you choose the right software systems, you’ll be able to
set them up once and have them run efficiently with little ongoing
work.
Consider looking into software to help you manage the following:

• Accounting: With multiple options to help you track everything from a meal with
your business partner to a significant inventory order, accounting software is one of
the best ways to start your business off on the right financial foot.
• Email marketing: A useful email marketing tool will help you stay in touch with
your current (and future) customers and make sure you’re able to send the right
messages to the right people at the right time.
• Ads Paying for ads is often a cost of doing business, especially online, but there’s a
marketing software that can help streamline the process and make the most of your
advertising budget no matter how much you have to spend.
• Project management: Even if you’re a sole proprietor, having one place to plan
your work and keep track of important tasks can help you stay on schedule. Tools
like Trello and Asana can help.
• Website or online store: Choose a platform that allows you to easily manage all
the critical tasks involved in running your business. Look for a theme that supports
your product lines to handle orders easily.
 10 - Set up a Digital Presence‍for Your Small
Business
• Having a strong digital presence would be ideal for a small business. It is a more cost-
effective alternative compared to traditional marketing practices. It is especially useful
for small companies that compete with a more established brand.
• Start by deciding which marketing activities will have the most significant impact on
your new business, and use your plans to make a list of the skills you’ll need to execute
them.
• With your target customer and your brand identity under your belt, you can begin
building your small business’s core marketing elements, including your website, blog,
email tool, conversion tool, and social media accounts.
• Once you've started building an online presence and creating awareness for your
business, you need to generate the leads that will close into customers. Lead generation
is the process of attracting and converting strangers and prospects into leads. If you
build a successful lead generation engine, you'll be able to keep your funnel full of
sales prospects while you sleep.
• Here is an awesome guide on small business marketing to get you started.
 11 - Build Your Team
• How much work will you need to do, and what skills
will be required to launch your business? These are
fundamental questions you’ll need to answer because
they’ll guide your timeline and your investment level in
the launch.
• If you plan to do all of the work yourself, you’re limited
by the time you have available to invest. If you plan on
hiring help, you’ll need to account for those costs—as
well as the time involved in finding and on-boarding
freelancers or employees.
• Hiring the right talent for marketing, design,
engineering, finance, sales, and HR all require
considerable time and effort. It is crucial in a small
business to have a good and trust-worthy team to ensure
success.
 12 - Build a Great Product

• When starting, your product or service has to be at least good, if not great.
Differentiate it in some meaningful and important way from the offerings of
your competition. Everything else follows from this fundamental principle.
• Don’t drag your feet on getting your product out to market, since early
customer feedback is one of the best ways to improve your product.
• Of course, you want a “minimum viable product” (MVP) to begin with, but
even that product should be good and differentiated from the competition.
Having a “beta” test product works for many startups as they work the bugs
out from user reactions.
• Remember, you are solving for your customers. Not for future investors!
 13 - Launch Your Business

You’re ready to take the last step in starting a business: launching. The preparation you’ve
already done has laid a solid foundation to support your launch, so you can focus on
marketing activities and making your first sale. However, a plan of attack, especially as
you’re trying to build traction, can help make your launch even more successful.
While every launch will be unique, some elements can boost any business’s first few sales
days.
• Leverage your network: Promote your store first and foremost on free channels that are
already available to you, including your social media and contacts list.
• Sending emails asking for support, which can be as simple as a social share, can go a long
way towards gaining traction. Building good relationships is vital for the success of your
small business's future.
• Consider offering discounts: Rewarding early customers with a discount code that fits
with your profit margins can help you get traction early on, especially when your product
is new and may not have many customer reviews or visibility.
• Test paid ads: Even if you start with a small budget, paid ads can be one of the most
effective ways to get in front of your ideal audience. Testing early and learning from your
results can help you drive your first few sales and optimize your ad performance as you
scale.
14 - Become a Strong Salesperson

• If your small business needs to become

successful, you must become a great
salesperson. You will have to learn how
to “sell” your business— to customers,
prospective investors, and even potential
employees.
• It’s important to be positive, trustworthy,
and to learn how to listen. You must
practice your sales pitch, get feedback
from various people, and then refine your
pitch. Even if you are not naturally an
extrovert, you need to show confidence,
follow up, and ask for the sale.
 15 – Invest and Grow - Have a Great Investor Pitch Deck

• Startups and small businesses frequently

prepare a “pitch deck” to present their
company to prospective angel or venture
capital investors. The pitch deck typically
consists of 15-20 slides in a PowerPoint
presentation and is intended to showcase the
company’s products, technology, and team to
the investors. Keep track of your monthly
growth and your finances and be ready on
hand to sell to an investor every day.
• Raising capital from investors is difficult and
time-consuming. Therefore, it’s crucial that a
startup absolutely nails its investor pitch deck
and articulates a compelling and exciting
story.
Procedure To Set Up a Small
Business Enterprise :
Identifying The Business
Opportunity
Spotting market opportunities is essential for business growth
and survival. Opportunities are factors that contribute to your
growing success. These are typically external and include
things like:
• economic trends
• market trends
• shifting or expanding customer base
• changes in government or industry regulations
• changes in partnerships or relationships with suppliers,
competitors, etc
• new or changing funding prospects (eg increase in grant
funding)
One of the best ways of identifying new business
opportunities is to complete a SWOT analysis.
 Using SWOT analysis to identify business opportunities

A SWOT analysis is one of the most popular strategic analysis tools. It

focuses on four key factors affecting your business:
• strengths
• weaknesses
• opportunities
• threats facing your business
• A SWOT analysis typically provides you with valuable information
about your business. It can help you to identify new opportunities
and prospects that you can potentially exploit.
• For example, if SWOT analysis shows that your opportunities lie in
changing market trends, you may want to respond by introducing
new products, altering prices of existing goods, adapting your
advertising or adding value to the customer experience.
 Other strategic analysis tools
In addition to SWOT, other useful techniques include:

• PESTLE analysis - a technique for understanding the various external

influences on a business. Like PESTLE analysis.( political, economic,
sociological, technological, legal and environmental.)
• Scenario planning - a technique that builds various plausible views of
possible futures for a business.
• Critical success factor analysis - a technique to identify the areas in
which a business must succeed in order to achieve its objectives.
• The Five Forces - a framework for looking at the strength of five
important factors that affect competition - potential entrants, existing
competitors, buyers, suppliers and alternative products/services. Using
this model, you can build a strategy to keep ahead of these influences.
 Other ways to detect new business opportunities
Other than using SWOT analysis, to detect new business prospects you can also:
• Segment your customers - Divide your customer base into smaller groups that share
common characteristics, such as age, gender, location, or lifestyle, attitude or
purchasing habits. This allows you to analyze the demand for your products or
services and target each segment with specific marketing, promotions and offers,
ultimately helping you to seize new business opportunities.
• Analyze your purchase situation - Look at distribution channels, payment methods
and other factors around purchasing to understand how your customers buy your
products or services. Then look at how you can improve them or offer alternatives to
bring new customers to your business.
• Analyze your competition - Research existing businesses in the market to
understand their value proposition and their competitive advantage. Establish your
unique selling point to set yourself apart from your competitors. Identify what draws
your customers in and promote this.
• Look at other markets - Exporting into other countries may open up new
opportunities. Consider carefully what the market is like. To increase the likelihood of
success, research the competitors, local habits and the likely demand for your
products or services.
Consider exploiting other types of business opportunities too.
For example, you can:
• Franchise your business
• Buy an existing business
• Find a distributor to increase your market share
• Explore licensing, supply chain deals, etc.
Procedure To Set Up a Small
Business Enterprise :
Stages for the Setting of New
Enterprise Business Plan
Whether attempting to increase market share, improve profitability or
add staff, every company is trying to grow. Doing so means navigating
complex challenges and finding inventive routes forward during that
business growth process.
A small business goes through various stages of development,
facing different cycles throughout the life of the business.
What you focus on today may not be what's important
tomorrow, and your challenges will change and require
different approaches to be successful. You need to be able to
anticipate upcoming challenges and financing sources you will
need to succeed at each stage of the business lifecycle.
1. Seed Stage
The seed stage of your business lifecycle is when your business is just a
thought or an idea. 
• Challenge: Most seed-stage companies will have to overcome the challenge
of market acceptance and pursue one niche opportunity. Do not spread
money and time resources too thin.
• Focus: At this stage of the business the focus is on matching the business
opportunity with your skills, experience, and passions. Other focal points
include deciding on a business ownership structure, finding professional
advisors, and business planning.
• Money Sources: Early in the business life cycle, with no proven market or
customers, the business will rely on cash from owners, friends, and family.
Other potential sources include suppliers, customers, and government
grants.
2. Start-Up Stage
Your business now exists in legal terms. Products or services are in
production, and you have your first customers.
• Challenge: If your business is in the start-up lifecycle stage, it is
likely you have overestimated money needs and the time to market.
The main challenge is not to burn through what little cash you have.
You need to learn what profitable needs your clients have and do a
reality check to see if your business is on the right track.
• Focus: Start-ups require establishing a customer base and market
presence along with tracking and conserving cash flow.
• Money Sources: Owner, friends, family, suppliers, customers, or
grants.
3. Growth Stage
Revenues and customers are increasing with many new opportunities and
issues. Profits are strong, but the competition is surfacing.
• Challenge: The biggest challenge growth companies face is dealing with
the constant range of issues bidding for more time and money. Effective
management is required, as is a possible new business plan. Learn how to
train and delegate to conquer this stage of development.
• Focus: Businesses in the growth life cycle are focused on running the
business in a more formal fashion to deal with increased sales and
customers. Better accounting and management systems will have to be
set up. New employees will have to be hired to deal with the influx of
business.
• Money Sources: Banks, profits, partnerships, grants, and leasing options.
4. Established Stage

Your business has now matured into a thriving company with a place in
the market and loyal customers. Sales growth is not explosive but
manageable. Business life has become more routine.
• Challenge: It is far too easy to rest on your laurels during this life stage;
the marketplace is relentless and competitive. Stay focused on the
bigger picture. Issues like the economy, competitors, or changing
customer tastes can quickly end all you have worked for.
• Focus: An established life cycle company will be focused on
improvement and productivity. To compete in an established market,
you will require better business practices along with automation and
outsourcing to improve productivity.
• Money Sources: Profits, banks, investors, and government.
5. Expansion Stage
This life cycle stage is characterized by a new period of growth into new
markets and distribution channels. This stage is often the choice of the
small business owner to gain a larger market share and find new revenue
and profit channels.
• Challenge: Moving into new markets requires planning and research.
Your focus should be on businesses that complement your existing
experience and capabilities. Moving into unrelated areas can be
disastrous.
• Focus: Add new products or services to existing markets or expand the
existing business into new markets and customer types.
• Money Sources: Joint ventures, banks, licensing, new investors, and
partners.
6. Decline Stage
Changes in the economy, society, or market conditions can decrease
sales and profits. It may quickly end many small companies.
• Challenge: Businesses in the decline stage of the life cycle will be
challenged by dropping sales, profits, and negative cash flow. The
biggest issue is how long the business can support negative cash
flow. Consider if it may be time to move on to the final lifecycle
stage—exit.
• Focus: Search for new opportunities and business ventures.
Cutting costs and finding ways to sustain cash flow is vital for the
declining stage.
• Money Sources: Suppliers, customers, owners.
7. Exit Stage
It is a big opportunity for your business to cash out on all the effort and years
of hard work. Or it can mean shutting down the business.
• Challenge: Selling a business requires a realistic valuation. It may have been
years of hard work to build the company, but think about the real value in the
current marketplace. If you decide to close your business, the challenge is to
deal with the financial and psychological aspects of a business loss.
• Focus: Get a proper valuation of your company. Look at your business
operations, management, and competitive barriers to make the company
worth more to the buyer. Setup legal buy-sell agreements along with a
business transition plan.
• Money Sources: Find a business valuation partner. Consult with your
accountant and financial advisers for the best tax strategy for selling or
closing out the business.
Emerging Opportunities in
various Sectors
 1. INFORMATION TECHNOLOGY
The IT sector has been India's sunshine sector for
quite some time now. The industry has
contributed considerably to changing India's
image from a slow developing economy to a
global player in providing world class technology
solutions. According to the IBEF (India Brand
Equity Foundation) figures, the Indian IT industry
is set to touch $225 billion by 2020.

Industry experts and NASSCOM say the Indian IT

workforce will touch 30 million by 2020, becoming
the highest sector employer. This will be coupled
with steady increase in pay in a sector already
offering a high base. The outsourcing industry too
is looking towards India and is expected to be a
$2.5 billion industry in the next 24 months.
 2. TELECOM
India's telecom story is only getting better. According to Zinnov
estimates, India already has nearly 850 million cell phone
subscribers, with a 15% smart phone penetration. All this points to
a penetration that is fueling the growth of enterprise mobility in
India, which will lead to significant employment growth.
 3. HEALTHCARE
There are clear indications that healthcare is
going to be a major sector that stimulates
economic growth and contribute to
employment.

The Indian healthcare industry also has

advantages over other developing countries in
becoming a global hub for medical tourism.
The medical treatment and educational
services in India are a fraction of the cost in
developed countries.

While we may lag in molecule development

and drug patents, an increasing disposable
income has led to a strong domestic market
potential in India. This will result in significant
employment generation across various
functions, such as sales, marketing, HR, IT and
operations, within the industry.
4. INFRASTRUCTURE

India's infrastructure growth has been exponential over the

past decade. Today, we are the fourth largest and probably
the second-fastest growing economy, with infrastructure
being one of the cornerstones. The infrastructure industry in
India is highly fragmented and hence difficult to gunge its
exact size and the jobs it generates each year in absolute
terms.

However, be it roads and highways, railways, aviation,

shipping, energy, power or oil & gas, the Indian government
and the various state governments seem to making rapid
progress. This has led to significant employment generation,
though a majority of it is still in the unorganised sector. Over
the next 10 years, the infrastructure sector in India will need
to continue its growth momentum and is likely to maintain a
growth rate anywhere between 7-10%, a very healthy sign.
5. RETAIL

Over the past few months, the retail sector has

grabbed headlines with talks of 100% FDI in single
brand retail, which is currently capped at 51%.
While the outcome is still undecided, the opening
up of India's retail will create a stronger, organized
industry that will help in generating employment.

Today, only a small part of retail in India is

organized. Despite this, it is estimated that the
sector in India is worth more than $400 billion, with
domestic and international players planning to
expand across the country. Industry leaders predict
that the next phase of growth will emerge from
rural markets. There are projections of the
workforce doubling by 2015, from the current five
lakhs in both organized and unorganized sector.