The Emergence of Indian Industry:
During earlier times, the prosperity of Indian industry attracted communities across borders.
Strategies adopted by Mughals and Turks:
Turk Mughals settled in India and shared prosperity. They bought money with them and interrupted the barter system.
British wanted to unload the surplus supply due to the Industrial Revolution in India to balance the demand and supply situation in the United Kingdom. They managed to acquire power and became the ruler.
Manufacturing prohibited in India. And they sent all raw materials (cotton, oilseeds, etc.) to the United Kingdom for conversion and added value, thus transferring wealth to the United Kingdom.
The Indian industry remained uninitiated. The biggest boost was in cash crops, neglecting food grains, which resulted in severe famine. The Indian economy was dominated by the British economy.
The world war prevented the transfer of raw materials to Manchester. The British decided to manufacture in India itself. Started the first Indian industry. The textile mills of Mumbai.
1930 in the mid-1940s:
Mahatma Gandhi directed his captains to establish the Basic Infrastructure for industrial and economic development. Theses are the business founders of India. They developed several areas of basic infrastructure.
1. JRD Tata: Aviation, steel, rail, post and telegraph, energy, roads, textiles, etc.
2. G.D Birla-Textile, vehicles, energy, cement, chemicals, heavy industries, aluminum, cement, etc.
3. S.L Kirloskar-Machine tools, agricultural machinery, pumps, etc.
4. Jamnalal Bajaj- Two wheels, 3 wheels, etc.
The British returned leaving the business to their employees / agents / market intermediaries.
The nationalization of banks and insurance companies made huge funds available for SSI and business development. It made the investment available to the common man in defiance of the business monopoly.
1970 in mid-1985:
The emergence of new generation entrepreneurs thanks to funds and government support. Policies Technocrats, artisans, educated rural artisans, young people without education created the greatest development of SSI. It resulted in an excellent interdependence of SSI and the organized sector, creating the highest growth rate of 8.9% and a very high addition to GDP. The organized sector could expand, diversify without any direct investment and SSI could share prosperity.
The Indian industry remained protected by the raj license. permit, quotas, monopolistic market resulting in the loss of export and entry of better cheaper products in the gray market (Germany Japan) resulting in a worse situation of BOP and industrial disease. Closure of several industries in the organized sector.
Liberalization implements reforms by eliminating export regulations. Delicensing that simplifies import and export, direct FDI in all sectors, concessions for technical knowledge and collaboration. Indian entrepreneurship began.
The third generation of entrepreneurs Rahul Bajaj, Mahindra. Ambani Ratan Tata, Kumar Mangalam Birla demonstrated his skills in the management of several large companies.
The Indian entrepreneurship took a big leap in the global market by entering the service industry (IT, BPO, biotechnology, hospitality, etc.)
India established leadership in several areas:
1. Bajaj-Major manufacture of 2 wheels
2. Cemento Ambuja, the cheapest cement manufacturing.
Also read: Concept of entrepreneurship, Types of entrepreneur, Process of entrepreneurship, Need of entrepreneurship, Barriers of Entrepreneurship, Entrepreneur vs Intrapreneur, Control process, Types of control, Control techniques, Theory of motivation