Rural Entreprneurship -One Key to Rural Revitalisation

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Rural Entrepreneurship-One key to Rural Revitalization
Abstract Entrepreneurship can play an important role in rural development. “Entrepreneur means one who creates a product on his own account, who ever undertakes on his own an industrial/trading enterprise in which work men are employed”. If entrepreneurships really encouraged in rural area it would, of course, be instrumental in changing the face of rural areas by solving the problems of unemployment, poverty, economic disparity, poor utilization of rural capacity, low level of standard of living.

1. Dr. Ratan Barman, Reader, Department of Commerce, Assam University (Diphu Campus) 2. Dipanjan Chakraborty, Senior Lecturer, Department Of commerce,Darrang College,tezpur


‘India lives in her villages’---- this axiom is still true today despite the service sector budding in the urban and semi urban areas. Majority of the population still lives in rural India and the large chunk of population in urban areas still live through the learning of a village life. For the strength of the country there is a necessity to develop the villages. Development of a country is a choice loaded on its people, whether urban or rural. It is individuals who shape up a society and decide its progress and performance. Urban and rural are two sides of the same coin of economic development. While the urban sector has witnessed phenomenal growth and development, fuelled by the post independence era of industrialization, the rural sector saw little corporate growth.

Rural development is more than ever before linked to entrepreneurship. Institutions and individuals promoting rural development now see entrepreneurship as a strategic development intervention that could accelerate the rural development process. Furthermore, institutions and individuals seem to agree on the urgent need to promote rural enterprises: development agencies see rural entrepreneurship as an enormous employment potential; politicians see it as the key strategy to prevent rural unrest; farmers see it as an instrument for improving farm earnings; and women see it as an employment possibility near their homes which provides autonomy, independence and a reduced need for social support. To all these groups, however, entrepreneurship stands as a vehicle to improve the quality of life for individuals, families and communities and to sustain a healthy economy and environment. Rural industrialization is important not only as a means of generating employment opportunities in the rural areas with low capital cost and raising the real income of the people, but also because it contributes to the development of agriculture and urban industries. In the absence of rural industrialization, it would not be easy to solve the problem of unemployment in rural areas. The entrepreneurial orientation to rural development accepts entrepreneurship as the central force of economic growth and development, without it other factors of development will be wasted or frittered away. However, the acceptance of entrepreneurship as a central development force by itself will not lead to rural development and the advancement of rural enterprises. What is needed in addition is an environment enabling entrepreneurship in rural areas. The existence of such an environment largely depends on policies promoting rural entrepreneurship. The effectiveness of such policies in turn depends on a conceptual framework about entrepreneurship, i.e., what it is and where it comes from.

Concept of Entrepreneurship and Entrepreneur

The terms ‘entrepreneurship’ and ‘entrepreneur’ are not new to the Indian economy. Often these two terms are considered synonymous and used interchangeably. But conceptually both the terms are different. The relationship between the two is just like the two sides of the same coin.

The understanding of the concept of entrepreneurship owes a...
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