India’s budding entrepreneurs: 32.5% of college students eye startups, says survey

Hyderabad: The findings of a global research project showed that 32.5 per cent of Indian college students are already nascent entrepreneurs, significantly higher than the global average of 25.7 per cent.

As much as 14 per cent of Indian students plan to start their own businesses immediately after graduation, aligning with the global average of 15.7 per cent. The report showed how entrepreneurial aspirations grow, with 31.4 per cent of Indian students intending to pursue entrepreneurship five years after graduating, compared to a global average of 30 per cent.

Rising entrepreneurial aspirations

The report from GUESSS Global research project highlighted shifting career goals among Indian students. This is said to be the first comprehensive survey of student entrepreneurship in India, conducted as part of the Global University Entrepreneurial Spirit Students’ Survey (GUESSS).

While 69.7 per cent of students initially aimed for employment after graduation, this dropped to 52.2 per cent within five years, with 31 per cent opting for entrepreneurship during that period, up from the earlier 14 per cent.

Entrepreneurial intent in India is also notably higher, with students scoring an average of 4.6 on a 7-point scale compared to a global average of 3.7. While 38 per cent of Indian students are engaged in starting ventures, 33 per cent are still in the nascent stage. However, only 4.8 per cent have reached the revenue-generating stage, indicating room for growth.

Indian universities rank high in providing entrepreneurship climate

As much as 63 per cent of Indian student entrepreneurs receive support from their universities, with 26 per cent of student ventures being incubated. Indian universities are highly rated for fostering an entrepreneurship-friendly environment, scoring 4.7 out of 7, the highest among global startup ecosystems.

GUESSS India 2023 Report

The survey, which took place between November 2023 and February 2024, received 13,896 responses from students across hundreds of Indian higher education institutions.

Led by Dr Puran Singh, an associate professor at IIT Mandi, the report aimed to provide data on student entrepreneurship in India for the first time.

He emphasised the importance of the data, stating, “We are already the third largest startup ecosystem in the world. We also have the largest youth population in the world. Harnessing youth’s entrepreneurial potential will be pivotal to our country’s growth. But do our students have entrepreneurship on their minds? We have never had any data to understand our students’ entrepreneurial mindset.”

Dr Singh added, “GUESSS India 2023 Report, by bringing out this data, marks a pivotal moment for India’s student entrepreneurship landscape. We have a validation of humongous resources deployed by the government in promoting entrepreneurship from the top leadership of our country. The strong entrepreneurial intent and the robust pipeline of nascent ventures signal immense potential.”

Report significant for India’s startup ecosystem

The GUESSS India 2023 Report was officially launched on October 18 at the ISBAcon 2024 conference in Hyderabad, organised by the Indian STEP and Business Incubators Association (ISBA).

The report is expected to inform future policies and initiatives aimed at supporting student entrepreneurs across India.

Dr Suresh Kumar, president of ISBA, said, “The GUESSS India 2023 Report holds significant value for India’s startup ecosystem stakeholders, including universities, incubators, policymakers, and investors. The insights provided in the report reveal the underlying strengths and weaknesses of India’s student entrepreneurship environment, offering a roadmap for fostering and scaling student-led ventures.”