India has a flourishing startup ecosystem, although these creative ventures face numerous challenges and struggle for existence. Start-up is all about self-discovery and learning. Most startups emerge with an extraordinary dream, though these dreams entail a lot of dedication and hard work to build into reality. It takes much more than a brilliant idea to become a startup that grows to succeed.
The following are some of the challenges faced by startups:
Setting up a brand
Branding is very necessary for any start-up company to sustain in the market. Without branding, it’s highly impossible to take the business to the next level. One more challenge that comes with the branding is making people realize that the company which is new in the market can render similar kind of products or services like other giant players in the market. So, startups should research and plan the ideas to promote the business, create a unique product or service, execute the business model and monitor the performance from time to time.
Understanding the client’s mentality on pricing factor is one of the biggest challenges. Normally for a start-up company, pricing is decided by the client because they are aware of the fact that since a new budding company wants to survive in the market, they can negotiate. Proper planning with respect to the allocation of resources and will help to overcome this challenge.
Creating a value proposition
Market positioning is one of the challenges for a start-up company in India. Start-ups do not get a proper value addition. Clients or customers do take some time to understand the brand. Understanding the market before positioning any product or service is the best way to overcome this challenge.
Funding is a vital part without which a company cannot grow. In start-ups, the flow of income has a lot of limitations whereas the investments will be huge. Being patient and investing in the right place in a right way will help to overcome this challenge.
Risk can arise everywhere for a start-up. Be it client or customer preferences, market orientation, competition, economic changes and so on. In order to face this, we should just confront these risks, reduce their effects on the business, prioritize them and adjust to the changing environment.
There is no sugar coating on the startup even after they overcome these challenges. Startups face challenges on a daily basis. The biggest challenge with startups in the 21st century is the fear of embracing failure. It is important to dream, have the ambition and vision to set the bars high to enter a whole new world of startups that will drive strengths, diversity and intensify the economy of the country.