Entrepreneurship Innovation And Startups: Catalyst For Innovation And Economic Growth Of India

Abstract

Entrepreneurship, innovation, and startups serve as profound catalysts in propelling India's economic growth. Amidst rapid technological evolution and demographic transformation, India’s vibrant startup ecosystem—fuelled by government initiatives, academic–industry partnerships, and increasing venture capital inflows—has emerged as a fulcrum for both innovation and inclusive development. This paper examines how entrepreneurial ventures foster innovation, generate employment, enable sectoral diversification, and contribute to GDP growth. It critically evaluates the roles of flagship programmes (e.g., Startup India, Atal Innovation Mission, Stand-Up India), incubators such as CIIE.CO and AIC-NITIE, and emerging trends like AI adoption in knowledge-intensive startups. Additionally, it discusses challenges including funding constraints, regulatory bottlenecks, and efficiency trade-offs in AI-driven firms. The analysis underscores the need for enhanced policy coherence, capital access, and research ecosystem strengthening to sustain innovation-led growth.