Entrepreneurs are the leaders who refer to the existing business model while adding their own strategies of operation to run the business. Startups, on the other hand, refer to new businesses that intend to introduce new business practices or models that could practically change the market operations. The startup environment is the most competitive practice for many as it holds the solution for problems that could only be solved with the help of technology.
Startups around the globe have showcased the potential to create a space in the competition where a traditional business model lacks behind. It is not just about making money or creating pathbreaking technology. Startups are a way of approaching an idea to create something worth for society and mother nature. India has a history of having the least number of startups that have the potential to disrupt the market. Even if we talk about the world’s best startups to date, there are few names such as Facebook, Airbnb, SpaceX, Canva, etc.
India came in the race after the deployment of 4G network across the country as it covered a major issue of slow internet. Fintech and Edtech startups were initially far away as there was no interest in this field compared to the e-commerce industry. Snapdeal and Flipkart were initially the leaders in India’s startup environment. 2014 was the year when the growth rate of many startups showed a positive sign. Many FIIs (Foreign Institutional Investors) & FDI (Foreign Direct Investment) increased in the large organizations as well as in the Indian startups.
India’s Startup Ecosystem
With more than a billion population, India was nowhere on the list of innovation and technology exceptions for a few tech giants like TCS, Infosys, HCL Tech, etc. The government of India understood the market requirement and initiated a plan of creating innovative startups that could not only innovate technologies but can also provide jobs to the young and skilled workforce.
Innovation is the key in this rising digital era. A country with a digital advantage has a dominant position in almost every field. Even the armed forces equipped with the latest weapons and machinery are considered to be the strongest. Indian armed forces stand exceptional in this case, but still, they have their own research and development department DRDO, that keeps upgrading the weapons. There are a few defense equipment startups.
The peak of Indian Startups
As per the data available on Invest India, India has secured the third spot as the largest startup ecosystem globally with over 61, 400 DPIIT (Department for Promotion of Industry and Internal Trade) recognized startups across 636 districts of the country as of 10th January 2022. The innovation in India is not limited to any specific sector or industry. At the current stage, Indian startups are engaged in solving problems in 56 diverse industrial sectors with 13% from IT services, 9% Healthcare & Life Sciences, 7% Education, 5% Professional & Commerce services, 4% Agriculture, and 4% Food & Beverages.
Pandemic and Startup race
India is home to 83 unicorn startups with a total valuation of $ 277.77 Billion. Out of which, 44 with a total valuation of $ 92.77 Billion reached the milestone in 2021. The year 2019, 2020, 2021 saw the birth of the maximum number of startups joining the unicorn club with 9, 10, and 44 startups taking birth each year, respectively.
Covid19 created a havoc situation everywhere. Many lost their jobs; many businesses around went to complete shutdowns. Still, a few of the startups with their innovative management techniques and dedication kept floating in the market and made the year 2021 the year of unicorn startups.
The list of startups that joined the unicorn club are:
Digit, Innovacer, Infra.Market, Five Star Business Finance Ltd, Firstcry.com, Meesho, CRED, PharmEasy, Groww, ShareChat, GupShup, Chargebee, Urban Company, BrowserStack, Zeta, Droom, Blackbuck, BharatPe, OfBusiness, upGrad, MindTickle, Eruditus, CoinDCX, Zetwerk, Grofers, Apna app, MPL, Licious, Vedantu, Rebel Foods, CoinSwitch Kuber, Acko, CarDekho, Cure.fit, MyGlamm, NoBroker.in, MENSA, Upstox, Spinny, Pristyn Care, Slice, GlobalBees, MamaEarth.