Promote local businesses, innovation, say start-ups to new government
The start-up and e-commerce industry is seeking a better and simpler business / operating environment for the second term of the National Democratic Alliance (NDA) government.
While favorable policies and ease of doing business are definitely a priority, entrepreneurs also want the government to focus more on promoting local businesses and take the “Make in India” initiative to the next level.
Ronnie Screwvala, co-founder and chairman of upGrad, said the government has a proven track record of strong execution and reviewing its impact. “Now is the time to take bold action to overhaul our systems at the local level. In the coming years, India must move towards a post-arbitration model where the focus is on local businesses and a massive wave of entrepreneurship versus outsourcing. model which has been the foundation of the Indian economy so far, ”he said, adding that to secure our position as one of the top three economies in the world, India must move from a cost-based trade-off to an innovation-driven economy.
As the world’s second-largest start-up nation, the government has taken initiatives to energize the sector while protecting investors and entrepreneurs. However, much remains to be done to ensure faster growth and increase entrepreneurial activity. Although steps have been taken to ease the angel tax, according to Ankur Pahwa, partner and national leader in e-commerce and consumer Internet at EY India, there are still unmet expectations related to its simplification.
“More attention is needed to protect entrepreneurs, and at the same time allow developers and investors to raise capital through differential voting rights. While the government has made significant and commendable progress in making doing business easier, further measures related to easing standards will fuel the start-up ecosystem, ”he said.
The NDA-I, industry experts said, had worked to address many fundamentals of the economy and the business environment, such as the introduction of the Goods and Services Tax (GST), streamlining pricing structures, ease of doing business, and 59-minute loan programs, among others.
“I would expect the NDA-II to develop policies and conduct programs to help Indian micro, small and medium enterprises (MSMEs) and start-ups take their rightful place in the global economy. Policies should encourage new age business creation and should eliminate business irritants. There should also be improved access to finance and credit cycles for SMEs, “said Sameer Vakil, co-founder and CEO of GlobalLinker, a global network of business owners and professionals.
The e-commerce industry in India has undergone a turbulent development in recent years due to political issues and other mandatory guidelines such as data localization. Experts said that as the new government steps in, e-commerce policy needs urgent attention as it can propel investment, job creation and wealth creation to boost overall economic growth. The color of currency differentiation needs reconsideration, in which the focus should be on the governance of the sector rather than on the segregation of foreign capital from domestic capital.
“The need of the hour is equalized political treatment for e-commerce companies funded by foreign and domestic capital, consistency in the governance approach of online and offline retail players, and a well-balanced data policy that meets global standards that takes account of account consent, privacy, protection, ownership, access and use of data for individuals and businesses, ”said Pahwa.
E-commerce policy should also take into account the perspective of relevant stakeholders and provide sufficient lead for implementation. “Incentives for companies exploring ‘deep-tech’ such as artificial intelligence, machine learning, the Internet of things, etc., will improve the efficiency of the system and, ultimately, improve the efficiency of the system. improve the customer experience, ”said Pahwa.
WHAT START-UPS WANT
- Protect entrepreneurs and, at the same time, allow developers and investors to raise capital through differential voting rights
- Equalized political treatment for e-commerce companies funded by foreign and domestic capital and a well-balanced data policy