Rural Entrepreneurship

Rural entrepreneurship refers to the development of a new enterprise which pioneers new products and services, creates a new market for its offerings or uses advanced technology, in the rural area. Need for Rural Entrepreneurship The reasons for the rural entrepreneurship are discussed as under:

1. As the rural industries are labour-intensive, they tend to have a high possibility of generating employment, which acts as a corrective measure to a number of problems causing due to unemployment stemming in the rural areas.
2. Rural industries have a comparatively high potential of generating income, which reduces the disparities amidst income earned by people living in urban and rural areas.
3. Rural entrepreneurship stimulates the dissemination of economic activities in the village areas, which ultimately results in balanced regional development.
4. It does not just protect but also promotes the art, culture and creativity, i.e. the varied heritage of that particular region.
5. When industries are set up in rural areas, it advances economic development which reduces migration of the villagers to urban areas.
6. Curtails unequal growth in the urban areas, decreases the development of slums, environment pollution etc. When industries which are environment friendly are established in rural areas, it results in development without causing harm to nature and biodiversity. Problems of Rural Entrepreneurship As we know that the development of entrepreneurship in rural areas is not as easy as in urban areas. As there are a number of problems which needs to be catered.

Some of them are listed as under:

Paucity of Funds

Lack of technical know-how

Lack of training and development

Non-availability of skilled labours

Risk Element

Legal Formalities

Lack of technical knowledge

Lack of Quality Control

Lack of communication and market insights

Lack of storage and transportation facilities

Old and obsolete technology, machinery and equipment

Lack of promotional strategy

Lack of infrastructural facilities

Poor quality standards

Besides the above challenges, one major problem encountered at the time of entrepreneurship development in rural areas is the lack of knowledge and awareness in people with regard to the significance of developing industries in the rural areas. Moreover, the rural population does not show much interest in choosing entrepreneur, as their career. The rural population generally go for employment due to a fixed and regular income, limited working hours, no investment and less degree of responsibility. This is due to the status given to the salaried people by society than to the self-employed ones. In this way we can describe the rural entrepreneur.

mystartupyatra helps rural entrepreneurs and promotes them.

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