In 2019, we met many successful companies, but a whole host of startups are also shrouded in uncertainty and scams, especially before the end of the year.
The closure of startups such as Doodhwala and the overall slowdown of the economy has made the Indian startup ecosystem a very mild climate by the end of the year. Although 2020 seems to start with the same grim feelings, we can only hope that in a few months it will be a sign of a good time. Here are the highest forecasts for startups for the coming year.
Reduced International Big Funding
If there is political unrest in the country, international investors will not be sure to invest in India. The National Citizenship Register (NRC) and the Citizenship Amendment (CAB) have been widely criticized internationally, and it is only a matter of time before business confidence is affected.
Border areas like Kashmir will continue to alienate, which means that development will be hindered if the government continues to prioritize issues related to citizenship rather than focus on economic development.
Nobel laureate Abhijit Banerjee’s past research and experiments show that refugees and ethnic minorities have not eaten the jobs that locals want. That’s more myth than reality. Assam and Kashmir have huge potential in the areas of travel, tourism and agricultural technology, but start-ups are reluctant to establish bases due to government restrictions and the closure of the Internet.
The Amazon Takeover Prediction
As e-commerce giant Amazon purchases fresh produce from farmers in the grocery merchandising business to increase competitiveness, and gradually promote its products in categories that perform well on the platform-all companies competing with it should exercise caution.
E-commerce, content, groceries, web services, and retail have become a duopoly, and if regulators do not control it, its momentum may shift to favor Amazon more.
Although there are a large number of startups in education, they are all likely to grow. Startups such as up-Grad, Avani Learning, Byju’s and InterviewBit all cater to slightly different market segments, and they will have plenty of growth opportunities.
India’s education system appears to be broken due to the very limited number of institutions that provide quality education and fierce competition for jobs. In addition, many reports released this year show that ordinary graduates cannot find employment, whether in engineering or other majors.
This frustrates businesses and young people. Traditional education systems require support from skills-based online colleges and courses.
Fintech Finance Frays
With PMC general bank scams emerging in the minds of consumers and a large number of cases related to financial fraud being exposed this year, Fintech companies will have a hard time persuading consumers.
Online mutual fund platforms have failed to gain the expected appeal as in the past three years, market performance has been diluted, and former Reserve Bank President Raghuram Rajan warned that many of our things have come true.
Individual Indian Top Investors will Set Themselves Bigger Targets, Especially in B2B
Investors who have gradually built up technology-based scalable B2B business portfolios over the past decade will seek to find more promising start-ups by 2020. HNI, who hopes to give back to the entrepreneurial community, will set higher goals for itself this year.
“The best startups generally come from somebody needing to scratch an itch.”
–Michael Arrington, founder, and co-editor of TechCrunch
We have seen an increase in the trend of startups raising funds from individual investor groups this year, and the growth rate will be even faster next year.
Hyderabad’s Time to be the Strongest Shine
The city has been a hub for entrepreneurship for some time, but still not as eye-catching as Bangalore and Gulham. But this may change in 2020, as the communities there are now large enough to attract more media attention.
With T-Hub’s investment in the ecosystem and the emergence of companies such as Jay Robotix, True Push, Neeman’s, AuthBlue and SkinCraft, the city may receive more attention than before, which will further encourage new companies and talent relocation.
Studies show that Hyderabad residents are very tech-savvy, and their education and Internet penetration rates are high. This will encourage startups to set up headquarters here.
Average Age of Indian Top Startup Founder to be Increase
In India, the average age of startup founders is about 30. Considering the country’s demographic dividend, this makes perfect sense. However, a large number of successful CEOs are now reluctant to retire from the mid to late 1950s.
Those who consider themselves “actors” rather than investors will want to co-found a company with young people with expertise and exciting ideas. As a result, we will see more UpGrad-type partnerships in which Ronnie Screwvala starts a business with young people such as Phalgun Kompalli, Mayank Kumar, Ravijot Chugh (they are all co-founders).
Startup Outlook in Rural based India
There was a time when a person started to be looked down upon by others. People think you are starting your own company because no one else wants to hire you. Of course, this is no longer the case in Indian cities. However, in rural India, government work is still considered a great career achievement.
The Modi government has focused on Indian startups over the past five years, so changes in rural India can be seen. Young people are passionate about implementing agricultural technology solutions, participating in implementing and measuring social impact. Those who are fortunate enough to go out of the countryside and receive higher education in prestigious institutions now give back to society by returning home and empowering others, rather than doing high-paying jobs in cities.