Venture Capital and Innovation
Venture capital used to focus on e-commerce, but now, funds are slowly moving towards deep-tech sectors like AI, blockchain, and electric mobility.
Innovation must benefit users, create a competitive advantage (e.g., patents), and address market needs to attract investors.
Startup India Push and Results
India has seen a surge in startup numbers (1.65 to 1.7 lakh startups) and significant capital investments, including debt capital.
However, compared to China and the U.S., India’s startup ecosystem still faces challenges in self-reliance and scaling due to limited local venture capital and lower per capita GDP.
Barriers to Scaling and Government Support
Startups struggle to scale due to small amounts of funding spread across too many ventures.
The government has made progress, but bureaucracy and the need for smoother implementation hinder startup growth.
Larger, domestic venture capital and higher-risk capital are needed to scale successful startups in India.
Future of Indian Startups
Startups need to focus on continuous innovation and strong corporate governance to succeed in a competitive marketplace.
Successful startups will inspire others, as seen with companies like Freshworks, which paved the way for new ventures.
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