As a result of the covid-19 pandemic, a lot of countries have suffered an economic blow through reduced funding and shutting down of business.
One of the major countries affected is India, especially due to the fact that the number of new covid-19 cases there is skyrocketing, and the government is being forced to take extreme measures. We shall explore what are the factors that led to this recovery.
Ways the Startup ecosystem is recovering rapidly in India
Here are a few ways the ecosystem is recovering in India:
Indian entrepreneurs are reimagining their businesses:
Keeping the circumstances caused by the covid-19 pandemic, Indian businessmen and entrepreneurs are reimagining how they should model their business’s structures, and are bringing about necessary changes that are required in these particular circumstances. This has contributed to a lot of benefits since monetization is being successful despite the rapid socio-economic changes.
The government of India is facilitating its business community:
A thumbs-up should also be given to the government of India that is making the environment for the businessmen easier. The environment has become more producer friendly by providing them with incentives and necessary funding to rejuvenate the structure of their businesses and generate revenue in the given environment. Without the help of the Indian government, this recovery may have been an impossibility.
Loosing of lockdown restrictions:
When the outbreak first began, the Indian government issued a strict lockdown throughout the country. Soon it backfired and necessary steps had to be taken to bring back employment, counter hunger, and ensure economic progress. For that, the lockdown restrictions were loosened to quite an extent. That on the other hand, it indeed led to a surge in cases but contributed to the recovery of the ecosystem.
The technological nature of India is growing:
India is on its way to become a tech hub. Their technological infrastructure is so advanced that they were able to use it to their own advantage. Despite the circumstances caused due to the coronavirus pandemic, India was able to recover fast due to its technological nature, through which a lot of businesses and services were digitized, making it easy for customers and consumers to access them.
We can get a hint of its technological nature from the fact that most of the CEO’s of technological giants are Indians. The same can be manifested partly within India.
India has developed good economic ties with other countries:
Props also should be given to India strong economic ties with countries like the USA, Russia, and Israel. They have business collaborations with each other, and that compelled those countries to be supportive of India in the time of its crisis. This helped a lot in the recovery of the startup ecosystem in India.
Despite the dire economic and social conditions, entrepreneurs in India are still coming up with new startups and business ideas on a regular basis, and it is all thanks to the factors discussed above (amongst many others).