The recession in the US economy would offer great opportunities for entrepreneurs, says Krishna Tanuku, executive director at the Wadhawani Centre for Entrepreneurship Development.
Every year, the WCED organises 'The TiE-ISB Connect 2008', a forum that promotes budding entrepreneurs. The annual event jointly organised by the Wadhwani Centre for Entrepreneurship Development and the Hyderabad chapter of TiE (The Indus Entrepreneurs) is held at the Indian School of Business.
The event will begin on November 5 at ISB, Hyderabad. Krishna Tanuku talks to contributing managing editor Shobha Warrier about the opportunities in India and how entrepreneurship can flourish.
TiE-ISB Connect 2008 has come up with an interesting theme, 'The Next 800 million opportunity'. What is idea behind this theme?
During the last several years, the Indian economy has grown significantly. This has resulted in increasing levels of aspirations from across all age groups and no matter which sector you choose, there are significant unfulfilled needs of the market place and opportunities to meet these needs. Therefore, the opportunities to create new business ventures are no longer limited to either the bottom of the pyramid but are available across the majority of the pyramid.
This is a goldmine to bring out and leverage the entrepreneurial spirit and address opportunities across a whole range of sectors to sustain the Indian economic growth. This is not a just theme for one event but can act as strategic focus for many such programmes in India and as well as abroad as what we do in India is equally applicable for many markets across the world.
The Connect 2008 web site says, "The vast Indian population (untapped); not yet part of the urbanisation, present a large business opportunity, much beyond the 300 million middle class segment, often talked about." Why should these areas be urbanised?
The challenge we are trying to address through the TiE-ISB connect is not the urban versus rural but the challenge of reorienting the mindset towards addressing the needs of majority of the Indian population by leveraging and igniting the inherent entrepreneurial aptitude of many in India.
By the term vast untapped Indian population, do you mean rural India?
The focus is on creating specific solutions to meet the needs of majority of the pyramid by help identifying the new entrepreneurial opportunities. Certain entrepreneurial ventures will support the needs of both urban and rural segments. One such example is providing affordable and quality heath care through new business models and service models.
Do you think the urban centres of India have reached a saturation point as far as business opportunities are concerned?
There is nothing called saturation in aspiration levels for anyone. There will always be a saturation of a particular product or a service with a given value. However, you can find innovative ways to enhance the value to providers, to consumers and to everyone that needs to participate in this value chain such as investors. In this cycle supported by innovation and entrepreneurship focus, there will never be a saturation point.
What are your expectations from entrepreneurs?
There is a lot of space for entrepreneurs to create wealth and at the same time fulfill their passion. There is so much experiential knowledge available through institutions like ISB, organisations like TiE, successful entrepreneurs, and proactive efforts by the government. Entrepreneurs must take full advantage of the opportunities and support through initiatives by ISB and TiE to fulfil their own aspirations and help build a sustainable and equitable society where future generations can be proud of their contribution.
At WCED, how do you encourage your students to be entrepreneurs?
There are 4 broad areas critical for building a successful entrepreneurial culture. An aspiring entrepreneur must be grounded with core beliefs and values both at personal as well as organisational levels. These include perseverance, commitment, risk taking, honesty, integrity, ethics and governance principles. WCED provides a foundation through various courses and interactions with experts.
An entrepreneur must be able to uncover a starting point of their entrepreneurial journey based on needs which have not been met or underserved needs and their own skills and competencies. They need to create a value proposition based on four abilities - applicability, adaptability, accessibility and affordability.
An entrepreneur must be able to understand and master relevant execution competencies, skills needed. An entrepreneur must always be aware of evolving ground realities and be prepared to be a perpetual student with focus on innovation, relationships, and making social and environmental challenges an integral part of core businesses as a venture grows from small set up to a big corporation.
Do you think the recession in the US economy would dissuade many to be entrepreneurs?
This actually provides great opportunities for serious and focused entrepreneurs.