TOP ROADBLOCKS FOR INDIA’S STARTUPS
Despite India’s entrepreneurial strength, the startup economy still has not reached full maturity and more than 90% of startups fail within the first five years.
Lack of innovation: 77% of venture capitalists surveyed believe that many Indian startups lack pioneering innovation based on new technologies or unique business models. Indian startups are prone to emulate already successful global ideas.
Lack of skilled workforce: 70% of the venture capitalists believe that talent acquisition is one of the biggest challenges faced by Indian startups, and limited availability of necessary skills impedes growth. As per a study, 80% of engineering graduates in India are deemed unemployable and 48% of employers in India face difficulty in filling vacancies.
Lack of sufficient funding: Indian startups face funding roadblocks both at entry and exit stages while successful global startup ecosystems are well supported by active investor communities. 65% of venture capitalists revealed that funding is one of the major challenges for these companies.
Other roadblocks include inadequate formal mentoring, poor business ethics and lack of experienced leadership.