ENTREPRENUERSHIP AND SOCIAL WELFARE

MEANING
ENTREPRENEUR An Entrepreneur is an individual who efficiently and effectively combines the four factors of production. Those factors are land (natural resources), labor (human input into production using available resources), capital (any type of equipment used in production i.e. machinery) and Enterprise (intelligence, knowledge, and creativity.) Entrepreneurship is often difficult and tricky, as many new ventures fail. s often. !ost commonly, the term entrepreneur applies to someone who creates value by offering a product or service. Entrepreneurs often have strong beliefs about a market opportunity and organi"e their resources effectively to accomplish an outcome that changes e#isting interactions. $usiness entrepreneurs are viewed as fundamentally important in the capitalistic society. %ome distinguish business entrepreneurs as either &political entrepreneurs& or &market entrepreneurs,& while social entrepreneurs' principal ob(ectives include the creation of a social and)or environmental benefit. The Enterprise can be set up in designated industrial areas, where infrastructure facilities are available and is near to the market identified. t can also be set up in any other area depending upon nature of activity and local municipal rules.

Entrepreneurship is the practice of starting new organi"ations or revitali"ing mature organi"ations, particularly new businesses generally in response to identified opportunities. Entrepreneurship is often a difficult undertaking, as a vast ma(ority of new businesses fail. Entrepreneurial activities are substantially different depending on the type of organi"ation that is being started. Entrepreneurship ranges in scale from solo pro(ects (even involving the entrepreneur only part*time) to ma(or undertakings creating many (ob opportunities. !any &high*profile& entrepreneurial ventures seek venture capital or angel funding in order to raise capital to build the business. Angel investors generally seek returns of +,*-,. and more e#tensive involvement in the business. !any kinds of organi"ations now e#ist to support would*be entrepreneurs, including speciali"ed government agencies, business incubators, science parks, and some /01s. Social welfare 2elfare refers to a broad discourse which may hold certain implications regarding the provision of a minimal level of wellbeing and social support for all citi"ens without the stigma of charity. This is termed &social solidarity&. n most developed countries, welfare is largely provided by the government, in addition to charities, informal social groups, religious groups, and inter*governmental organi"ations. n the end, this term replaces &charity& as it was known for thousands of years, being the act of providing for those who temporarily or permanently could not provide for themselves.

 History ENTREPRENEURSHIP $arter system 3 currency 4aste %ystem Agriculture Education 4olonial rule !anaging agents 5ounder Entrepreneurs Trader community %% development 6eforms in 788,9s :iberali"ation ndia !ultinationals and ;oint <entures

Social welfare
The concept of charity goes back to ancient times, and the practice of providing for the poor has roots in many ma(or ancient civili"ations and world religions. %ocial work has its roots in the social and economic upheaval wrought by the ndustrial 6evolution, in particular the struggle of society to deal with poverty and its resultant problems. $ecause dealing with poverty was the main focus of early social work, it is intricately linked with the idea of charity work, but it must now be understood in much broader terms. 5or instance it is not uncommon for modern social workers to find themselves dealing with the consequences arising from many other 'social problems' such as racism, se#ism, homophobia, and discrimination based on age or on physical or mental ability. !odern social workers can be found helping to deal with the consequences of these and many other social maladies in all areas of the human services and in many other fields besides. 2hereas social work started on a more scientific footing aimed at controlling and reforming individuals (at one stage supporting the notion that poverty was a disease), it has in more recent times adopted a more critical and holistic approach to understanding and intervening in social problems. This has led, for e#ample, to

the re conceptuali"ation of poverty as more a problem of the haves versus the have*nots rather than its former status as a disease, illness, or moral defect in need of treatment. This also points to another historical development in the evolution of social work= once a profession engaged more in social control, it has become one more directed at social empowerment. That is not to say that modern social workers do not engage in social control (consider for e#ample statutory child protection workers), and many if not most social workers would likely agree that this is an ongoing tension and debate. AD ANTAGES! ENTREPRENEURSHIP Every successful entrepreneur brings about benefits not only for himself) herself but for the municipality, region or country as a whole. The benefits that can be derived from entrepreneurial activities are as follows= 7. +. Enormous personal financial gain. %elf*employment, offering more (ob satisfaction and fle#ibility of the work force. -. >evelopment of more industries, especially in rural areas or regions disadvantaged by economic changes, for e#ample due to globali"ation effects. ?. Encouragement of the processing of local materials into finished goods for domestic consumption as well as for e#port. @. ncome generation and increased economic growth. A. Bromotion of the use of modern technology in small*scale manufacturing to enhance higher productivity. C. Encouragement of more researches) studies and development of modern machines and equipment for domestic consumption. D. >evelopment of entrepreneurial qualities and attitudes among potential entrepreneurs to bring about significant changes in the rural areas. 8. 5reedom from the dependency on the (obs offered by others. 7,. The ability to have great accomplishments.

Social welfare 0ovt takes good care of all infrastructure because of high revenue Eniversal health care :ess competitions 0ood lifestyles while on welfare waiting for employment T"e role of #o$er%&e%t i% s'((orti%# e%tre(re%e'rs"i( %mall and !edium*si"ed Enterprises (%!Es) in market economies are the engine of economic development. 1wing to their private ownership, entrepreneurial spirit, their fle#ibility and adaptability as well as their potential to react to challenges and changing environments, %!Es contribute to sustainable growth and employment generation in a significant manner. %!Es have strategic importance for each national economy due a wide range of reasons. :ogically, the government shows such an interest in supporting entrepreneurship and %!Es. There is no simpler way to create new (ob positions, increasing 0>B and rising standard of population than supporting entrepreneurship and encouraging and supporting people who dare to start their own business. Every surviving and successful business means new (obs and growth of 0>B. Therefore, designing a comprehensive, coherent and consistent approach of 4ouncil of !inisters and entity governments to entrepreneurship and %!Es in the form of government support strategy to entrepreneurship and %!Es is an absolute priority. A comprehensive government approach to entrepreneurship and %!Es would provide for a full coordination of activities of numerous governmental institutions (chambers of commerce, employment bureaus, etc.) and /01s dealing with entrepreneurship and %!Es. 2ith no pretension of defining the role of government in supporting entrepreneurship and %!Es, we believe that apart from designing a comprehensive entrepreneurship and %!Es strategy, the development of national %!E support institutions and networks is one of key condition for success. There are no doubts that governments should create different types of support institutions=

i) To provide information on regulations, standards, ta#ation, customs duties, marketing issuesF ii) To advise on business planning, marketing and accountancy, quality control and assuranceF iii) To create incubator units providing the space and infrastructure for business beginners and innovative companies, and helping them to solve technological problems, and to search for know*how and promote innovationF and iv) To help in looking for partners. n order to stimulate entrepreneurship and improve the business environment for small enterprises. Trai%i%# $asic training differs from product to product but will necessary involve sharpening of entrepreneurial skills. /eed based technical training is provided by the 0ovt. 3 %tate 0ovt. technical nstitutions. There are a number of 0overnment organi"ations as well as /01s who conduct E>Bs and !>Bs. These E>Bs and !>Bs and are conducted by !%!E's, / E%$E>, /% 4, E, / % ET, Entrepreneurship >evelopment nstitutes and other state government developmental agencies.

Mar)eti%# Assista%ce There are 0overnmental and non*governmental speciali"ed agencies which provide marketing assistance. $esides promotion of !%!E products through e#hibitions, /% 4 directly market the !%!E produce in the domestic and overseas market. /% 4 also manages a single point registration scheme for manufacturers for 0ovt. purchase. Enits registered under this scheme get the benefits of free tender documents and e#emption from earnest money deposit and performance guarantee.

Pro&otio%al Sc"e&es

0overnment accords the highest preference to development of !%!E by framing and implementing suitable policies and promotional schemes. $esides providing developed land and sheds to the entrepreneurs on actual cost basis with appropriate infrastructure, special schemes have been designed for specific purposes like quality up gradation, common facilities, entrepreneurship development and consultancy services at nominal charges. 0overnment of ndia has been e#ecuting the incentive scheme for providing reimbursement of charges for acquiring %1 8,,, certification to the e#tent of C@. of the cost sub(ect to a ma#imum of 6s. C@,,,,)* in each case. %1 8,,, is a mechanism to facilitate adoption of consistent management practices and production technique as decided by the entrepreneur himself. This facilitates achievement of desired level of quality while keeping check on production process and management of the enterprise.

Co%cessio% o% E*cise D'ty !%!E units with a turnover of 6s. 7 crore or less per year have been e#empted from payment of E#cise >uty. !oreover there is a general scheme of e#cise e#emption for !%!E brought out by the !inistry of 5inance which covers most of the items. Ender this, units having turnover of less than 6s. - crores are eligible for concessional rate of E#cise >uty. !oreover, there is an e#emption from E#cise >uty for !%!E units producing branded goods in rural areas Cre+it Facility to MSME 4redit to micro, small and medium scale sector has been covered under priority sector lending by banks. %mall ndustries >evelopment $ank of ndia (% >$ ) has been established as the ape# institution for financing the !%!E. %pecific schemes have been designed for implementation through % >$ , %54s, %cheduled $anks, % >4s and /% 4 etc. :oans up to 6s. @ lakhs are made available by the banks

without insisting on collaterals. 5urther 4redit 0uarantee 5und for micro, small and medium enterprises has been set up to provide guarantee for loans to !%!E up to 6s. +@ lakhs e#tended by 4ommercial $anks and some 6egional 6ural $ank. Policies a%+ Sc"e&es for Pro&otio% of MSME I&(le&e%te+ ,y State Go$er%&e%ts All the %tate 0overnments provide technical and other support services to small units through their >irectorates of ndustries, and >istrict ndustries 4enters. Although the details of the scheme vary from state to state, the following are the common areas of support. 7. >evelopment and management of industrial estates +. %uspension)deferment of %ales Ta# -. Bower subsidies ?. 4apital investment subsidies for new units set up in a particular district @. %eed 4apital)!argin !oney Assistance %cheme A. Briority in allotment of power connection, water connection. C. 4onsultancy and technical support 0overnment of ndia runs a scheme for giving /ational Awards to micro, small and medium scale entrepreneurs providing quality products in 77 selected industry groups of consumer interest. The winners are given trophy, certificate and a cash price of 6s. +@,,,)* each. No%-#o$er%&e%t of or#a%i.atio%s /NGO0s1 Social welfare ndia has a long tradition of social service, social reform and voluntary agencies. /01s emerged in ndia soon after ndependence when !ahamata 0andhi made a plea for dissolving the ndian /ational 4ongress (the political party which came into power upon ndependence), and transforming it into a :ok %evak %angh (Bublic %ervice 1rgani"ation). This plea was, however, re(ectedF nevertheless, it did not halt the formation of non*governmental organi"ations in ndia. !any 0andhi followers established voluntary agencies to work closely with the governmental programs on social and economical issues. These agencies organi"ed handicrafts and village industries, rural development programs, credit cooperatives, educational institutions, etc.

The second stage of growth of /01s in ndia was around 78A, when many individuals noticed that the governmental programs seemed to be inadequate to deal with the deprived sections of ndia. These groups formed organi"ations that worked on behalf of the poor, the landless, the tribals, the bonded labourers, and many other social groups that were being discriminated against by the policies of the state and social structure. These grass roots organi"ations work at the micro* level and work with limited resources and lack of coordination. %ince ndependence in 78?C until around 78D, there was little effort on the part of the ndian 0overnment to define the role of a voluntary agency or to recogni"e its importance. n 78D,, however, with the %i#th 5ive Gear Blan (78D,*78D@), the government identified new areas in which /01s as new actors could participate in development. These areas included= 7. 1ptimal utili"ation and development of renewable source of energy, including forestry through the formation of renewable energy association at the block level +. 5amily welfare, health and nutrition, education and relevant community programs in the field -. Health for all programs ?. 2ater management and soil conservation @. %ocial welfare programs for weaker sections A. mplementation of minimum needs program C. >isaster preparedness and management (i.e. for floods, cyclones, etc) D. Bromotion of ecology and tribal development, and 8. Environmental protection and education. This plan, nevertheless, was to become the first of a series. Ender the %eventh 5ive Gear Blan (78D@*788,) the ndian government envisioned a more active role for voluntary organi"ations to aid in making communities as self*reliant as possible. These groups were e#pected to show how village and indigenous resources could be used and how human resources, rural skills and local knowledge, grossly underutili"ed at present could be used for their own development. /01s because of their situation and interaction with local people can be very effective in bringing change since they are able to address issues that governments are often not able to comprehend. That is, because these

organi"ations work at the grass roots level they are able to sense the urgency of issues and prioriti"e into the problem solving mode at a quicker pace. This advantage has also been noticed by the ndian government. n the Eight 5ive Gear Blan the importance of /01s is further enhanced, paying particular attention to the role of these agencies as participants in rural appraisal for drawing up development plans at a very low cost and involving the rural community. The plan document states, &A nation*wide network of /01s will be created. n order to facilitate the working of this network, three schemes relating to the creation, replication, multiplication and consultancy development have been worked out by the Blanning 4ommission.& Today, ndia has a vigorous /01 sector. Although there has been no complete census of /01s, it is estimated that about +@,,,, to -,,,,, are active in ndia. n fact, as of >ecember -7st, 78D8, there were 7+,-7- /01s registered with the !inistry of Home Affairs, 0overnment of ndia under the 5oreign 4ontribution (6egulation) Act (546A) 78CAF furthermore, C+A /01s are unregistered but under the prior permission category. 1ne problem with /01s in ndia, as with /01s anywhere else in the world, has been the increasing dependency on governmental funds or donations from e#ternal (foreign) donors like the 2orld $ank. This dependent relationship has resulted in a lack of fle#ibility on the part of /01s to pick their missions and ob(ectives since many are e#pected to perform certain tasks in return for funding. $ut, further still, it has also created structures that have become more bureaucratic in nature and, hence, less effective in development. /evertheless, /01s are here to stay and will continue to work in ndia on political, economical or social issues, the task before before them is how they will manage to produce change will keeping track for governmental documentation. n the past social welfare had been carried on by voluntary agencies and by philanthropic individuals. /ow, ndian has become a welfare state since her freedom. However, the 0overnment is assisting private agencies to enable them to continue their good work. The 0overnment has founded a board called &4entral %ocial 2elfare $oard& which has its branches in the %tates. This board was founded in August 78@- as part of the 5irst 5ive*Gear plan of ndia. The $oard is disbursing grant to welfare agencies. The board has welfare e#tension pro(ects in the rural areas. The $oard tries to suppress the immoral traffic in women and children and to provide after*care to the victims of this traffic. The social welfare programmed also relates to (uvenile delinquency and beggars. There are correctional institutions for young offenders like reformatory schools where

children under si#teen years are put. The borstal schools are meant for those who are more than si#teen years old. The board looks to prohibition, backward classes, scheduled castes, scheduled tribes and the criminal tribes. Ender the $ritish rule, a number of lawless tribes were blessed as &4riminal& and were generally segregated. n August 78@+ the 4riminal Tribes Acts were repealed. The $oard is trying to educate these people and improve their economic condition in order to wean away their children from anti*social practices.

CONCLUTION ENTREPRENEURSHIP 0overnment accords the highest preference to development of !%!E by framing and implementing suitable policies and promotional schemes like policies and promotional schemes, providing incentives for quality up gradation, concession on e#cise duty and provides technical supportive services. Thus 0overnment play supportive role in developing entrepreneurs. SOCIAL WELFARE Every student should prepare himself to do the social welfare. Beople should co* operate with the 0overnment to affect the social welfare programmed.

E%tre(re%e'rs"i( a%+ Ma%a#e&e%t of S&all a%+ Me+i'& E%ter(rises T2,MS GROUP MEM,ER RASI3A GARATE REEMA NEGI PRI2AN3A GHAG A3AN3SHA TAWDE 45 64 67 68