In a study conducted in India [1986], Rao and his team identified three sets of factors behind entrepreneurial growth. Thus factors affecting entrepreneurial growth are as under:
Table of Contents
Factors affecting entrepreneurial growth
1. Ambition-related Factors
- To make money
- To continue the family heritage
- To gain social prestige
- Other ambitions pleasure of doing something creative, creating employment for others, etc
- To make self- employment
- To fulfill self or others’ desire
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2. Compelling Factors
- Unemployment
- Dissatisfaction in existing job/occupation
- Family pressure
- Revival abandoned /sick units owned by the parental or wife’s family
- Make use of idle funds
- Make use of available -technical or professional
3. Facilitating Factors
- Success stories
- Previous experience in the line of activity
- Influence or encouragement of the powerful quarters
- Association as apprentices/ sleeping partners
- Previous employment in the line of activity
- Inherited business
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