Rural Enterprises PDF

Special Issues UNIT 12 RURAL ENTREPRENEURSHIP Objectives At the end of this unit, students will be able to: understand rural entrepreneurship in an Indian Setting differentiate between various modes o...

Special Issues UNIT 12 RURAL ENTREPRENEURSHIP Objectives At the end of this unit, students will be able to: understand rural entrepreneurship in an Indian Setting differentiate between various modes of rural entrepreneurship examine the government's rural entrepreneurship efforts uncover women's entrepreneurial development in rural India Structure 12.1 Introduction 12.2 Rural Entrepreneurship in India 12.3 Types of Rural Entrepreneurship 12.4 Rural Entrepreneurship's Advantages and Disadvantages 12.5 Government actions to promote Rural Entrepreneurship 12.6 Role of women's entrepreneurship in rural India 12.7 Summary 12.8 Key Words 12.9 Self Assessment Questions 12.10 References/Further Readings 12.1 INTRODUCTION Since liberation in 1947, India has had a spectacular path of advancement. The economy presently features 1.3 billion inhabitants and a nearly $3 trillion GDP. Over the last decade, the average annual GDP expansion pace has been roughly 7%. As suggested by the National Commission on Agriculture, 1970, there should be a greater emphasis on the use of science and technology to achieve greater efficiency. As a result, there seems to be a crucial structural improvement in informatics, logistics, and industries. Accordingly, the absolute volume of the agricultural workforce went up from 234.1 million in 2001 to 263.1 million in 2011, as per Census 2011. Yet, the fraction has plummeted from 58.2% in 2001 to 54.6% in 2011 (Press Information Bureau, 2020). Rural labour relocating from rural to urban communities is a widespread phenomenon. Factors identified are increased work options throughout the manufacturing and services sectors; demographic change; poor agricultural output; and so on. Agriculture's declining yields had already put the entire farming industry in enormous hardship. Well, that is causing a big variation among village and city livelihoods. So, now there is an imperative demand to speed up sustainable rebalancing so that rural residents get appropriate means and opportunities. Rural entrepreneurship might well handle such a dilemma by producing self-employment and pooling societal resources. 246 The increasing disparity is indeed a crucial problem in the post-independence Rural Entrepreneurship evolutionary phase, and it must be bridged effectively to realize equality in opportunity. The socioeconomic and academic situations in rural India demand professional development that partakes in entrepreneurial ventures but also stimulates a sustainable national economy. This unit discusses diverse elements of rural entrepreneurship, including its definition; current state; government activities; and the participation of women entrepreneurs in rural India. 12.2 RURAL ENTREPRENEURSHIP IN INDIA An entrepreneur is someone who initiates a new line of business, assuming the risks but also reaping the major portion of the returns. They usually draft a corporate strategy, employ staff, arrange funds and resources, and oversee the company's operations. Entrepreneurship applies to this practice of attempting to set up a company. The entrepreneur is widely regarded as a visionary and a generator of fresh concepts. An entrepreneur is one of the four factors of production who unites land, labour, and capital to create merchandise or deliver services. The epithet entrepreneur originated from "entreprendre", a 13th-century French term that means "to do something" or "to undertake". In 1730, Richard Cantillon characterized the readiness to shoulder the financial risk of a commercial enterprise as the distinguishing feature of an entrepreneur. Jean-Baptiste Say, as well as John Stuart Mill, two during the 18th century, helped popularize the term "entrepreneur" in academia. Say emphasized the value of coalescence by switching resources from less productive to highly productive alternatives. In ‘Principles of Political Economy’, Mill discusses an "entrepreneur "as a person that upholds both risks as well as the administration of a firm. While Joseph Schumpeter often claimed that the tempo of economic progress of a country rests upon the speed of innovations, it is based on entrepreneurial potential. Before actually delving into rural entrepreneurship in India, one must be cognizant that entrepreneurs venturing into rural entrepreneurship must not only operate firms in rural parts of the country but leverage rural supply as raw material and hire rural residents in manufacturing techniques. In short, it's entrepreneurship that brings worth to rural assets. "Rural entrepreneurship is, in essence, that entrepreneurship which ensures value addition to rural resources in rural areas engaging largely rural human resources. In other words, this means that finished products are produced in rural areas out of resources obtained in rural areas by largely rural people" ((Khanka, 2006; p. 68). The concept of rural entrepreneurship is grounded in rural industrialization. Traditionally, rural entrepreneurs preferred hamlet industries (khadi, handloom, sericulture, handicrafts, and coir). But since the Indian market has emerged globally, competitive rivalry is surging at an astounding level. As a catalyst for macroeconomic growth, rural entrepreneurship beguiles attention in the modernized sphere (power looms and small-scale enterprises). Yet, to prosper, rural entrepreneurs need a benevolent culture. 247 Special Issues Rural territories are home to over 70% of Indians. It pretty much signifies that potential for entrepreneurs might seep through the villagers. Paradoxically, rural India has yet to transliterate into better output or inclusivity; primarily due to the society's perplexing rural-urban divide. Despite developments, the rural economy seems profoundly enmeshed. They are enslaved by both budgetary and behavioural constraints. Well, entrepreneurialism in rural India seems trickier. Yet it might brazen out a wide variety of socioeconomic issues by putting the focus on capital formation, employment, increased per capita income, fair and equal distribution of wealth, and sustained growth. Such major developments emanating from bottom-up rural business intentions may neutralize the poor effects of top-down filtration as envisioned by the government. Equitable growth is the demand of the era. Accordingly, instead of "mass production,” the sensible approach to India’s woes would be "production by the masses." 12.3 TYPES OF RURAL ENTREPRENEURSHIP There are four basic forms of rural entrepreneurship: 1) Individual Entrepreneurship - It is single ownership of the enterprise. 2) Group Entrepreneurship - It mainly covers partnerships, private limited companies, and public limited companies. 3) Cluster Formation Entrepreneurship - It covers NGOs, VOs, CBOs, SHGs, and even networking of these groups. These also cover formal and non-formal associations of a group of individuals based on caste, occupation, income, etc. 4) Cooperative Entrepreneurship - It is an autonomous association of persons united voluntarily for a common objective. Individual Entrepreneurship - One individual owns this company. When an individual tends to set up a business taking into account various benefits and threats; with his/her resources, in a special case, capital may be gathered from capitalists or financial companies, providing the needed strong business acumen. Group Entrepreneurship - When a small group of individuals works together to create a business, they rely on their abilities or qualities to build it. Though, administration of such groups is significantly more difficult than solo ones due to shared accountability or unsettled judgment. Cluster Formation - Clustering has been regarded as a setting with exposure to all interconnected and contending institutions. Clusters usually form when commercial activities inside a particular supply chain are consolidated. If a substantial number of individuals or activist groups, including Non- Governmental Organisations (NGOs), Voluntary Organisation (VOs), Self- Help Groups (SHGs), Community Based Organisations (CBOs), participate, the business will form. The benefits of such a group include economies of scale, a strong supply chain, and, most importantly, a promising basis for 248 sharing revenue growth with significant societal impact. The sustainability of such ventures is usually driven not just by resources but by the affirmative Rural Entrepreneurship engagement of entrepreneurs. Co-operatives - An independent group of citizens uniting deliberately to satisfy common interests and requirements within a jointly-owned venture. It consists of both formal and informal activities working towards a shared agenda, For instance, artefact makers, livestock, and fishing businesses. The establishments mentioned above are fantastic examples of combining ingenuity and innovation at the grassroots level to overcome rural challenges in a commercially viable manner. Rural Industries comprise six different sectors: Rural industries can be witnessed mostly in the fields of farm value addition, forest-based, mineral-based, textile, and various engineering products. The quality and affordability of raw materials, and also the markets for final output, are the most fundamental criteria in choosing a start-up. Agro-Based and Food Processing Industry ⇒ Village Oil Industry; Aromatic Oil; Honey & Beekeeping; Palm Gur and other Palm Products; Fruit & Vegetable Processing Industry; Pulses & Cereals Processing Industry; Spices & Condiments Processing Industry; Gur & Khandsari Industry; Collection of Minor Forest Produce; Bamboo, Cane & Reed Industry; Organic Dyeing Industry; Medicinal Plant Collection & Processing Industry. Mineral Based Industry ⇒ Hand Made Pottery, Glazed & Ceramic Pottery, and Pottery as Home Décor, Pottery for Food Industry; Stone Cutting & Polishing Industry; Ceramic Tiles Industry; Granite Cutting, Polishing, Stone Carvings, Sculptures, etc.; Brass Metal and other Metal Crafts Industry. Wellness & Cosmetics Industry ⇒ Wellness & Cosmetics including Soap & Oil Industry; Aromatic Oils & Fragrances Industry; Cosmetic and Beauty Products Industry; Hair Oil and Shampoos, Toiletries Industry; Bathing Soap Industry; Incense Stick Industry. Hand Made Paper, Leather and Plastic Industry ⇒ Hand Made Paper, and Paper Products Industry; Paper Conversion Industry; Leather Industry; Plastic Industry; Natural Fibre other than Coir Industry. Rural Engineering and New Technology Industry ⇒ Bio-Gas, Non- Conventional Energy, Bio-Manure, Vermi-Compost Industry; Carpentry & Blacksmithy Industry; Agricultural Implements & Tools Industry; Electric & Electronic Products Industry; Dry Dairy; Household Metal Utensils & Articles Manufacturing Industry. Service Industry ⇒ Small Business; Maintenance and Servicing of Electrical & Electronic Goods; Farm Aggregators (Pre & Post Farming). 249 Special Issues 12.4 RURAL ENTREPRENEURSHIP'S ADVANTAGES AND DISADVANTAGES Advantages In regional regeneration, entrepreneurship may be incredibly valuable to the country's overall economic success. Encouragement of business in rural parts of the country might aid in transforming the landscape of agricultural communities. Here are the key benefits of rural entrepreneurship: Capitalization of local assets: Rural businesses facilitate the efficient application of indigenous resources, raw materials, and labor for commercial ends, thereby multiplying development. It can indeed mobilize rural investments and contribute to the expansion of rural financial affairs. Exalt employment avenues: Rural industries provide a significant number of job opportunities to rural dwellers. Village industrialisation might successfully address the fundamental dilemma of sizable unemployment and underemployment, especially in rural parts. Circumventing the rural flow of migrants: Paucity of development prospects and economic hardship rural people often make a move to urban provinces in search of a brighter tomorrow. All of this fosters a rural-urban divide. Rural entrepreneurship will support livelihoods and it will dissuade them from migrating. Encouragement of artistic processes: The rich culture of India could be perpetuated with rural entrepreneurship support by nurturing traditional art and crafts. Balance the society's wickedness: The existence of rural entrepreneurship might help alleviate social injustices like destitution, the proliferation of slum dwellers, urban pollution, and so on. Motivate rural population: Thriving rural entrepreneurs assist the rural masses with various ways to engage in business as a career and offer additional non-farm occupations. Promote local economy: Rural industrialisation can boost the countryside's industrial prosperity. They are focused on local preferences, improving the gap between demand and supply, or augmenting income levels. Foreign currency revenues: Sparsely populated firms play a big role in strengthening the nation's foreign exchange reserves with the export of various niche products. Leading professional development standard: Rural entrepreneurship can increase the general level of information among rural populations. These abilities and awareness will increase the quality of life. Disadvantages Rural entrepreneurs encounter a variety of limitations due to poor physical 250 connectivity, digital connectivity, and financial inclusion. Such as a resilient and productive existence; skill enhancement, or rather, vocation fit; rural Rural Entrepreneurship socio-economic participation. Some of the concerns associated with rural start-ups are as follows: Lacking experience and understanding: There seems to be an insufficiency of proper skills and abilities for the business potential within the village community. Besides, several learned and competent individuals leave the town and move to urban areas in pursuit of opportunities, widening the gap. Lack of funding: Capital is unquestionably an integral aspect of any business. Rural businesses have always been concerned with generating funds for their endeavours. Due to lack of financial choices, businesses are obliged to take loans from unregulated lenders, who impose exorbitant interest rates. Inadequate entrepreneurial willingness: The vast majority of rural residents are unsure of the best way to approach the corporate world. Preferences for being employed as labor or a sheer lack of a unique and innovative vision are the factors limiting the spread of enterprising in rural areas. Need for professional knowledge: Sparsely populated areas lack administrative, scientific, and commercial expertise, which leads to the annihilation of the entrepreneurial spirit, and as a result, few individuals move distant to build units. Limited infrastructural amenities: Rural regions are affected by the lack of infrastructural options such as expressways, supermarkets, power, information exchange, processing, storage, etc., which impede seamless industrial undertakings. Unfavourable socioeconomic environment: Social stratification, cultural ills, religious myths, and other factors stifle the development of the inquisitive nature. Furthermore, the preference for items manufactured by multinationals, large corporations, and so on complicates matters significantly for aspiring entrepreneurs. Absence of marketing knowledge: The need for effective interaction and access to appropriate but also reliable data renders it tricky for rural businesses to comprehend market dynamics. Lack of qualified personnel: Highly trained professionals concentrate on capital. Since the pay is lower in rural settings, entrepreneurs in remote places have a hard time attracting people with the right skills. Subpar quality merchandise: Buyers are now particularly vigilant about quality of products. Rural businesses still end up making average-quality commodities due to poor raw material grades as well as a lack of standardization techniques or machinery. Competition: Rural businessmen face a fierce competitive edge from MNCs, large corporations, and even urban small business owners. Such firms must emerge, featuring innovative marketing tactics that the community may 251 Special Issues readily embrace. Distribution barriers: Branding is primarily concerned with transmission networks and supply chains. The majority of the times, rural entrepreneurs rely on intermediaries. Unfortunately, the mediator swindles them for services. Activity 1 Briefly discuss various advantages and disadvantages of rural entrepreneurship. ………………………………………………………………………………… ………………………………………………………………………………… ………………………………………………………………………………… ………………………………………………………………………………… ………………………………………………………………………………… 12.5 GOVERNMENT ACTIONS TO PROMOTE RURAL ENTREPRENEURSHIP Rural entrepreneurship is quite adaptable to change in settings in which twin orientations to improvement, "bottom-up" and "top-down," complement one another. Nurturing start-ups in rural areas takes a lot more sophisticated and unique strategy than in urbanized setups. It necessitates not merely the evolution of entrepreneurial talents but also the deployment of a coordinated provincial model (Ajmeri, 2012; p. 103). Various organizations, like SIDBI, NABARD, and RRBs, are addressing the venture capitalists' issues. Also in 2015, the central government instituted MUDRA Bank to offer assistance to budding entrepreneurs. To provide rural enterprises subsidised credit; an adequate supply of resources; mentoring services for rural entrepreneurs; brand management. Statutory bodies and other attached offices: Khadi & Village Industries Commission (KVIC) has been heralded as a prominent body inside the unorganized economy for fostering long-term non- farm prospects with low per capita input. It also increases career opportunities in rural areas. It carries out operations including skills training, technical exchanges, research and development, and so forth. According to the MSME Annual Report 2021-22, throughout India, more than 2863 Khadi Institutions float a vast community that undertakes KVIC activities and employs over 4.97 Lakh individuals. Female artisans make up more than 80% of the total (MSME, 2022). National Small Industries Corporation Ltd. (NSIC) has been set up as a training-and-incubation center and also provides a package of services as per the needs. The idea behind NSIC is to foster the growth of micro, small and medium enterprises in the country. Through its distribution network, NSIC has been supplementing the availability of raw materials all over the country. 252 Arrangements have been made with suppliers to provide materials as per Rural Entrepreneurship requirements. It operates through a nationwide office network, with eight technical centers located at Okhla (New Delhi), Hyderabad (Telangana), Howrah (West Bengal), Rajkot (Gujarat), Chennai (Tamil Nadu), Rajpura (Punjab) & Aligarh (Uttar Pradesh) & Neemka (Haryana). NSIC's commercial gateway, Global Mart Web Portal, presents an e- marketing forum for corporate across the nation. The platform features a large directory of registered users seeking corporate leads like protracted alliances, subcontractors, and involvement in public procurement. NSIC gets involved in key national as well as international exhibitions and trade fairs to demonstrate the strengths of Indian MSMEs and to exploit market horizons. NSIC makes it easier for small businesses to join by offering rental discounts and other benefits. Presence in such gatherings connects MSMEs to worldwide trends and strengthens their commercial capabilities. Mahatma Gandhi Institute for Rural Industrialisation (MGIRI) endorses rural industrialisation for long-term hamlet livelihoods, letting the KVI segment cohabit with the mainline. Pull in specialists and professionals to Gram Swaraj. Invest in local craftsmanship development via pilot studies and research operations, harnessing native means. MGIRI's operations are conducted by its six segments. i) Chemical Industries Division: The ultimate emphasis of this section are to achieve quality awareness but also standardization within food processing, organic foods, and other chemical goods. It also offers extensive quality control services and now is aiming to add field competent packages, methodologies, and solutions to help cottage and small-scale entities. ii) Khadi and Textile Division: Its major tasks are to raise the productivity, value addition, and quality of items spawned by khadi establishments by launching innovative solutions or delivering quality management assistance. Then it strives to bring readily accessible eco-friendly commodities as well as methodologies. iii) Bio-processing and Herbal Division: This unit devised a technological suite plus an effortless quality system to enable the manufacture as well as distribution of organic manures, bio-fertilizers, and bio-pesticides to boost countryside start-ups. This unit is indeed working to create novel compositions with "Panchagavya" and also its quality assurance infrastructure. iv) Rural Energy and Infrastructure Division: This group has been tasked with building user-friendly and cost-effective solutions that employ readily accessible renewable energy streams to help rural industries, as well as auditing established industries to get operations energy proficient. v) Rural Crafts and Engineering Division: Its target is to support farm craftspeople by strengthening existing ability, ingenuity, and output, along with promoting intrinsic worth with excellent quality products. 253 Special Issues vi) Management & Systems Division: The said segment facilitates rural industries using information and communication technology tools to achieve a worldwide competitive edge. National Council for Vocational Education and Training (NCVET) has been designated as an enveloping skills supervisor. Two extant skill supervisory institutions, the National Skill Development Agency (NSDA) and the National Council for Vocational Training (NCVT) merged to effectuate comprehensive administrative transformation. The NCVET is entrusted with governing the actions of undertakings active in technical and vocational education and prescribing basic standards for said activities. National Institute for Entrepreneurship and Small Business Development (NIESBUD) is now a key unit, of the Ministry of Skill Development and Entrepreneurship engrossed in training, consulting, research, and other activities to encourage entrepreneurship and skill-centric development. Refresher courses for trainers, management development programs, entrepreneurship-cum-skill development initiatives, entrepreneurship development Initiatives, and cluster counselling are its key operations. Indian Institute of Entrepreneurship (IIE) is an autonomous organization that nurtures entrepreneurialism via instruction, review, and other consultancies. It is headquartered in Guwahati, Assam. Since 1979, the Centre has been playing a valuable part in the practice of stimulating entrepreneurship, first as the North Eastern Regional Branch of SIET, and eventually as NISIET (1984). The Ministry of Industry, Department of SSI, and ARI, Govt. of India, transitioned it into an autonomous institute on April 1, 1994. Thereafter, in 2007, it was transferred to the Ministry of Micro, Small, and Medium Enterprises (MSME). It is currently functional under the Ministry of Skill Development and Entrepreneurship (MSDE), with effect from May 22, 2015. Schemes and programs designed to encourage rural entrepreneurships A Scheme for Promotion of Innovation, Rural Industries, and Entrepreneurship (ASPIRE), aims to assist a network of technology hubs as well as incubation centres to drive start-ups towards excellencies in the agro-industry. ASPIRE grants financial services to the Livelihood Business Incubators (LBI) and Technology Business Incubators (TBI). It adds synergies between the scheme and the livelihood enterprises. Take effective measures for the incubation and commercialization of new proposals through institutes, primarily ones from the farm economy. They are known as "knowledge allies." Scheme of Fund for Regeneration of Traditional Industries (SFURTI) priority is to structure conventional businesses as well as artisans into clusters. To raise competitiveness, enlighten traditional craftspeople of the affiliated groups with specific skills and basic amenities. Support long-term sustainable growth with employment, marketability, and equipment. Indurate cluster governance and public-private partnership arrangements to sooner or 254 later recreate such cluster-based revitalization. To facilitate soft, hard, and thematic intervention strategies, monetary help in Rural Entrepreneurship each project is up to a ceiling of `8 crores. The scheme is open to NGOs, government, private, and panchayat raj institution functionaries, as well as corporate philanthropists with expertise in cluster development. Start-up Village Entrepreneurship Programme (SVEP): Ministry of Rural Development is administering SVEP, a sub-scheme underneath the Deendayal Antyodaya Yojana–National Rural Livelihoods Mission (DAY- NRLM). The goal is to serve the rural poor by setting up businesses in non- farm sectors. Its claimants comprise DAY-NRLM's Self Help Group (SHGs). The project operates at block levels, so a total of 2,400 firms could be endorsed inside a single block. Cadre of Community Resource Persons-Enterprise Promotion (CRP- EP): SVEP offers an environment for rural venture progression that includes the Community Enterprise Fund (CEF) for financial assistance but also connects to bank loans. CRP-EP supports in planning, training, etc. It has centres at the block stage for disseminating direction to entrepreneurs. Provision of Urban Amenities to Rural Areas (PURA) envisions rural infrastructure investment alongside economic restoration measures through the PPP (Public-Private Partnership) model. This is an attempt to leverage private sector efficiencies within asset management and service delivery. Further, to shape livelihood prospects and urban conveniences to mandated standards. They would be accountable for maintenance within designated panchayats/clusters of panchayats for ten-year tenure. Janshree Bima Yojana was unveiled to deliver a group insurance package to Khadi artists. KVIC developed this policy in collaboration with the Life Insurance Corporation of India. In the event of natural death, artisans can claim `20,000, while they can claim `50,000 in the event of an accident. Then there is a compensation of `50,000 for permanent impairment as well as `25,000 for partial impairment. Additional assistance: Kids studying in 9th–12th grade get a scholarship of `300 quarterly, up to two children per family. Pradhan Mantri Kaushal Vikas Yojana (PMKVY) is the MSDE's flagship initiative, being executed by the National Skill Development Corporation. The goal of such a skill certification is to encourage youth to undertake industry-centric skill training that will help them secure a decent life. It facilitates certificate standardization as well as devises a skill register. This raises current labour performance by integrating training into the priorities of the economy. Further participants acquiring training skills from authorized institutions are rewarded with an average pay of `8,000. Startup India Seed Fund Scheme (SISFS) intends to provide financial assistance to entrepreneurs who can demonstrate a concept, prototype, product testing, market penetration, or commercialization. This enables a stage wherein start-ups might attract angel investors or venture capitalists, as well as commercial banks and financial institutions. 255 Special Issues Deen Dayal Antyodaya Yojana - National Livelihoods Mission (DAY- NRLM): In June 2011, it was unveiled as a revised variant of the Swarna Jayanti Gram Swarozgar Yojna (SGSY). In November 2015, it was designed as DAY-NRLM. It aspires to develop and maintain institutionalized forums for the rural poor that would boost family earnings with alternative livelihood adjustments and increased financial recourse. DAY-NRLM enables the endorsement of women-owned groupings, namely, Producers Enterprises/Farmer Producers Organizations, to assist women farmers in unlocking the marketplace through the value chain and brand management. The intention is to fabricate a holistic corporate structure that serves primary producers' end-to-end services, covering everything from the establishment of producer associations to marketing alliances. Furthermore, with the help of TATA Trusts, the Ministry has formed, Foundation for Development of Rural Value Chain (FDRVC). It assists DAY-NRLM state units in designing and managing value chain operations via the outreach of large-scale producer firms. Government e-Marketplace (GeM): Entrepreneurs in far-flung rural locations are now permitted to peddle their wares to government departments and organizations. GEM, Common Service Centres (CSCs), e-Governance Services India (CSC-SPV), and the Department of Posts concluded a MoU to simplify the exchange of goods and services. The MoU would most likely benefit last-mile players such as Panchayati Raj Institutions 9PRIs), SHGs, Farmer Producer Organizations (FPOs), and other neglected rural groups such as, women and Divyangjan, as well as hunar-haat craftsmen, and so on, in addition to corporate entities, scientific and technical academic institutions, etc. Pradhan Mantri-YUVA stimulate entrepreneurial intent by assisting existing businesses in expanding and also leveraging young businesses with mentorship in launching businesses by providing a conducive atmosphere through entrepreneurial training and education. The scheme has covered pilot bases, in Assam, Bihar, Kerala, Maharashtra, Meghalaya, Tamil Nadu, Telangana, Uttar Pradesh, Uttarakhand, West Bengal, Delhi, and Puducherry. Furthermore, MSDE is undertaking entrepreneurship development in six holy cities: Puri (Odisha), Varanasi (Uttar Pradesh), Haridwar (Uttarakhand), Kollur (Karnataka), Pandharpur (Maharashtra), and Bodh Gaya (Bihar) (Ministry of Rural Development, 2022). Market Promotion and Development Assistance Scheme (MPDA) is a cohesive arrangement that integrates multiple schemes undertaken by the Khadi industry, for example, marketing and marketing development assistance. In addition, grants and subsidies would be offered for the facility of Khadi plazas. The ultimate goal is to increase the incomes of artisans. Earlier, financial aid was apportioned between production entities (30%) and sales entities (45%); while the amended MPDA plan allocated production entities (40%) and artisans (40%). 256 Activity 2 Rural Entrepreneurship Discuss various schemes initiated by the government to help rural entrepreneurs. ………………………………………………………………………………… ………………………………………………………………………………… ………………………………………………………………………………… ………………………………………………………………………………… ………………………………………………………………………………… 12.6 ROLE OF WOMEN'S ENTREPRENEURSHIP IN RURAL INDIA “Women are the largest untapped reservoir of talent in the World.” - Hillary Clinton Women constitute half of the total demography of the universe. Indeed, women's status might gauge socioeconomic advancements. In general, equality of opportunity can only be realized when women have the freedom to engage in economic progress. Yet, women entrepreneurs all around the world confront both personal and social challenges. Usually, women's contributions are associated with an improvement in their positions within the family or community. Women's empowerment has become a vital aspect of inclusive growth. Rather female labor force presence will benefit the nation's fiscal climate. Also, a female employer would naturally open the door for other female employees, or entrepreneurs. In a nutshell, squalor is home to approximately 40% of the population. If a household hopes to continue to a decent living standard, the man's paycheck will be untenable. A woman, hence, is constantly establishing herself in a variety of disciplines, especially business, as participation in venture creation has grown at a rapid pace. A significant proportion of those who have built profitable businesses is thriving as brilliant and vibrant entrepreneurs. Besides, they shape significant characteristics of the rural economy. While pursuing diverse businesses or activities, women can transcend captivity to individuality. They are increasingly turning to commercialization to alleviate their hardships. They are using their business abilities to become self- sufficient. Earlier, village women were mostly concerned with conventional domains. With professional development and supportive federal initiatives, they are springing up in modern enterprises as well. This younger wave of women-owned corporations is proactively chasing finance or exploiting modern technology to carve out a place in both the national and international markets. Yet, it is critical to motivate, assist, and sustain individual endeavours in the proper orientation (Charantimath, 2019; p. 57). Since women entrepreneurs are actively involved, supporting them with constructive training in advanced fields would not only reduce their overall susceptibility but also serve their interests. 257 Special Issues Case Studies Saroja Patil from Nitturu village in Karnataka has explored organic items. In 2014, she enlisted a business under the name, Tadhvanam. The brand delivers distinctive foodstuffs including banana flour; papad with ragi, rice, jowar, pearl millets; vermicelli with rice, wheat ragi, and several other products. The businesswoman has pushed organic ingredients throughout different locations such as Mumbai, Ahmedabad, New Delhi, Chennai, and Karnataka. Furthermore, support the enfranchisement of women throughout Karnataka. Source: Adopted from Nitnaware, H. (2022, February 3) https://www.thebetterindia.com/275099/first-woman-rural-entrepreneur- village-success-organic-ragi-rice-millets-farming/ Ruma Devi, the rural-style diva and the recipient of the Jankidevi Bajaj Puraskar, is another fantastic example of prowess to defy the traditional block. She was born and raised in Rawsar, in the Barmer district of Rajasthan; experienced hard situations. She is an icon of hope for 22,000 women to become self-sufficient by empowering them with gainful duties. She may not wear lavish attire, but her clients include renowned designers worldwide who visit her to collaborate on Barmer patchwork as well as Kasidakari embroidery. Source: Adopted from Patwa, P. (2020, March 9 https://www.entrepreneur.com/en-in/women-entrepreneur/meet-the- entrepreneur-who-has-revolutionized-the-lives-of/347326 Acknowledging that women occupy an essential and crucial influence on India's prosperity, the government has also launched certain policy initiatives as well as incentives exclusively for women business owners. For example, the National Mission for Empowerment of Women, the Prime Minister's Rojgar Yojana (PMRY), Entrepreneurial Development Programmes (EDPs), Management Development Programmes, and Women's Development Corporations (WDCs). The lacuna here, however, is a low level of attention to the provision of the policy or initiative. Therefore, there seems to be an urgent need to acquaint women owners across semi-urban or rural areas regarding the diverse government-led efforts that might bring appropriate assistance to fledgling firms. Fundamental concerns affecting rural women entrepreneurs Women from the countryside knuckle under the weight of prejudicial inheritances, laws, and practices that stymie businesses. Even if the provisions are egalitarian, women are commonly ignorant of their rights as well as opportunities. Or else they are frightened of retribution from their family or community if they pursue their rights. Rural women entrepreneurs' aptitude could well be inhibited by pervasive low educational attainment and then by insufficient training, 258 business acumen, and experience.  Inadequate rural services and facilities, including water, power, and Rural Entrepreneurship transportation severely constrains women's exposure to opportunities. Agrarian women's market growth is hampered by inaccessibility to banking and finance; very few banks are operating in rural parts of the country. Countless people in rural areas struggle with access to business development services. For decision-making and other professional support, women are generally supposed to depend on near and dear ones. Women-led businesses predominate in undervalued, small-stamped areas such as handmade, agro-based commodities within the shadow economy, with little or no statutory protection, no permanent skilled workforce, no trade association rights, along with insufficient support for employee welfare benefits. Women have restrictions on reaching either local or overseas markets to execute economic expansion, articulate better workplace arrangements, or secure self-sustaining lives. The administration is mindful that the promotion of micro, medium, and small industries operated by rural people remains the ideal approach to boosting agrarian livelihoods. As a response, the government puts a full price on entrepreneurs' advancement in the rural economy. 12.7 SUMMARY For a dynamic nation such as India, rural entrepreneurship has become the finest option for wealth creation. Rural entrepreneurship seems to be the panacea to rural dilemmas like employment, impoverishment, and migration. Entrepreneurship is a prudent approach in favour of livelihood opportunities in rural areas while improving overall income levels. Else undersized rural industrialisation would render challenges to the countryside population. So, rural entrepreneurship must be seen as a move toward national development. Wherein, holistic rural modernization strategies should be given considerable importance. Moreover, rural start-ups are capable of providing the route to woman empowerment from her disenchantment. Aiming at a brighter perspective, the government has initiated a dedicated institutional framework promoting innovation and entrepreneurship. To provide a comprehensive portfolio of projects and programs that will direct the core pillars of industrialization, namely labour, money, materials, machinery, management, and the market. 12.8 KEY WORDS Entrepreneur: An individual who not only initiates a new line of business, assuming the risks but also reaping the major portion of the returns. Rural entrepreneurship: It is a phenomenon wherein firms not only operate in rural parts of the country but leverage rural supply as raw material and hire rural residents in manufacturing techniques. In short, it's entrepreneurship 259 Special Issues that brings worth to rural assets. Financial inclusion: When individuals or corporations have accessibility to affordable financial services that suit their demands, offered in a timely and ethical manner. Digital connectivity: Accessibility to faster and more reliable internet over wireless, wired, or satellite mechanisms has been defined as "digital connectedness." GeM: It is an abbreviation for Government e-Marketplace. This is a digital channel that streamlines the procurement of goods and services by diverse state ministries or organizations. 12.9 SELF ASSESSMENT QUESTIONS 1) What do you understand by "rural entrepreneurship"? How can it help in economic development? 2) Discuss the various forms of rural entrepreneurship. 3) What are the benefits and drawbacks of becoming a rural entrepreneur? 4) Briefly explain the government's endeavours to facilitate rural entrepreneurship. 5) How can rural entrepreneurship help women's empowerment while highlighting specific challenges faced by them? 12.10 REFERENCES/FURTHER READINGS Ajmeri, S. R. (2012). Entrepreneurship Development. Retrieved February 19, 2023, from https://books.google.co.in/books?hl=en&lr=&id=iCPwAwAAQBAJ&oi=fnd &pg=PA1&dq=Ajmeri,+S.+R.+(2012).+Entrepreneurship+Development&ot s=GjM0tS0VzX&sig=5rA4_c7YpbU6i7KhB53tEeJghsk#v=onepage&q&f=f alse. Agrarian land. Press Information Bureau. (2020, February 4). Retrieved February 19, 2023, from https://pib.gov.in/PressReleasePage.aspx?PRID=1601902 Charantimath, P. (2019). Entrepreneurship Development and Small Business Enterprises. (3rd Edition) Pearson Education India. Haney, L. H. (2003). Business Organization and Combination. Retrieved February 19, 2023, from https://socialsciences.mcmaster.ca/econ/ugcm/3ll3/haney/BusinessCombinati on.pdf International Labour Organization. (2010). Gender and Rural Employment Policy brief. Retrieved February 19, 2023, from https://www.ilo.org/wcmsp5/groups/public/--- ed_emp/documents/publication/wcms_824865.pdf 260 Khanka, S. S. (2006). Entrepreneurial Development. S. Chand Publishing. MSME. (2022). Annual Report 2021-22. Ministry of Micro, Small and Rural Entrepreneurship Medium Enterprises, Government of India. Retrieved from https://msme.gov.in/documents/reports-and-publications. Ministry of Rural Development. (2022, February 9). Entrepreneurial Culture in Rural India. Ministry of Rural Development: Government of India. Retrieved February 19, 2023, from https://rural.nic.in/en/press- release/entrepreneurial-culture-rural-india Nitnaware, H. (2022, February 3). 1st woman entrepreneur from village, 63- yo earns rs 50k/month with organic rice & ragi. The Better India. Retrieved February 19, 2023, from https://www.thebetterindia.com/275099/first- woman-rural-entrepreneur-village-success-organic-ragi-rice-millets-farming/ Patwa, P. (2020, March 9). Meet the entrepreneur who has revolutionized the lives of over 22,000 women. Entrepreneur. Retrieved February 19, 2023, from https://www.entrepreneur.com/en-in/women-entrepreneur/meet-the- entrepreneur-who-has-revolutionized-the-lives-of/347326 Singh B.P. & Chhabra T.N., Modern Business Organisation. Indian Cooperative Movement: A Profile; National Cooperative Union of India. 261