TITLE:
Young Indian Entrepreneurs: A Multi-Criterion Decision Scenario
AUTHORS:
Surjit Kumar Kar, Saroj Kanta Biswal
KEYWORDS:
Startup, Entrepreneurship, AHP, DAME
JOURNAL NAME:
Theoretical Economics Letters,
Vol.9 No.5,
June
26,
2019
ABSTRACT: Entrepreneurship ventures are not new to India. They
have been instrumental in developing the socio-economic scenario in the
country. Many leading business houses today in India were family enterprises in
their days of beginning. The latest trend is that India is reaping dividend
because of larger percentage of youth in its population, who are venturing into
innovative startups. With startups coming up in large numbers, Indian
employment scenario is changing very fast. An entrepreneur starts a venture
with her own will and might, and thus there are many important factors in such
drive. A budding entrepreneur can come from any walk of life. However, a
trained technical and/or managerial person may make a difference. Encountered
with a challenging situation, a budding entrepreneur often finds himself at
cross roads in her journey of life. This paper explores entrepreneurial
narratives and classifies them into
multi-criterion decision scenario faced at an individual level by an
entrepreneur. Following a qualitative-quantitative research (mixed) approach, the paper shows outcome across two stages.
Using qualitative research methods (e.g. Focus Group Discussion), a list of
factors affecting motivation of someone to start an enterprise (called “startup”) is obtained. Subsequently, an analytic hierarchy process (AHP) model
has been used under quantitative paradigm. This approach used Decision Analysis
Module for Excel (DAME) add-in on MS-Excel to analyze responses obtained on the
aforesaid list of factors from subjects with entrepreneurial mindsets. It was
found that the risk taking ability depends on situation a youth is facing.
However, turbulence in socio-economic environment diminishes the risk appetite.
Strategic option such as “Focus” which is one when barriers to entry are higher and very
select competitors can get into the spectrum; and it is better coupled with low
exit barrier for a fail-safe and fast-exit plan.