By five years after graduation, 31.4% of students aim to become entrepreneurs, significantly higher than the global average of 30%. This is one of the findings from the newly published GUESSS India 2023 survey.
Conducted across 31 states and Union Territories, the Global University Entrepreneurial Spirit Students' Survey reveals a strong inclination toward startups, with 31% of students expressing an intention to launch their own ventures within five years of graduation. The survey gathered responses from nearly 14,000 students, offering a unique perspective on the changing career aspirations of India’s youth.
A Growing Shift Toward Entrepreneurship
According to the report, 14% of Indian students plan to start their entrepreneurial journey immediately after graduating, a figure that aligns closely with the global average of 15.7%. However, what sets Indian students apart is the sharp increase in entrepreneurial ambition over time. This data points to a noticeable shift from traditional career paths.
The trend also reflects a desire to gain industry experience before venturing into business. The survey shows that while 70% of students intend to seek employment immediately after graduation, this figure drops to 52% over five years, indicating that many plan to work before launching their ventures.
University Support Fuels Startup Ambitions
The survey highlights the crucial role that universities are playing in fostering the entrepreneurial spirit among students. Around 49% of the respondents have completed a course on entrepreneurship, with many institutions now offering structured programmes to support student ventures. Additionally, 63% of student-led startups have received support from their universities, a promising indicator of the growing ecosystem of academic incubators and entrepreneurial initiatives.
In fact, 26% of student ventures are currently incubated at university-affiliated business incubators, reflecting the increasing availability of resources such as mentorship, funding, and infrastructure.
The university climate for entrepreneurship is also highly rated, with Indian students scoring their institutions at 4.7 on a 7-point scale, the highest rating among global peers.
Nascent Ventures on the Rise
A notable finding from the GUESSS India report is the high percentage of nascent entrepreneurs in the student population. Approximately 33% of students are in the process of setting up their own ventures—significantly higher than the global average of 25.7%. This highlights the strong pipeline of future entrepreneurs emerging from Indian universities.
While 4.8% of students are currently running active startups—a figure that lags behind the global average of 11%—the report suggests that this number is likely to rise as nascent ventures mature and move into active operation. Government initiatives, combined with university support, are playing a pivotal role in nurturing these early-stage ventures.
Gender Gap In Entrepreneurship Intentions
Interestingly, the report reveals some disparities between male and female students when it comes to entrepreneurial aspirations. While 15.3% of male students plan to start their own business immediately after graduation, only 12% of female students share the same ambition.
However, this gap narrows over time, with 35% of male students and 26.3% of female students aiming to become entrepreneurs within five years. This growing interest among female students is an encouraging sign, reflecting greater confidence and support for women in the entrepreneurial space.
Regional and Institutional Variations
Students from private universities and deemed universities show the highest inclination toward entrepreneurship, with 15.5% and 16% respectively planning to start ventures immediately after graduation. In contrast, students from government colleges exhibit the lowest levels of entrepreneurial intent.
Geographically, the southern region of India contributes the highest number of student entrepreneurs, with 59% of survey respondents hailing from this area. The northern region follows with 22%, indicating strong participation from the country’s leading academic institutions.
Challenges And Opportunities Ahead
While the survey paints a promising picture of rising entrepreneurial ambition, it also highlights key challenges. The report notes that while many students express strong entrepreneurial intent, there remains a significant gap between intent and action. Only 4.8% of students are currently running active businesses.
Access to incubation centres and startup resources is one area that could see improvement. Although 26% of student ventures are incubated, there is room to expand this support network further, particularly in regions with fewer established incubators.
The government’s efforts to promote entrepreneurship through initiatives like Startup India and the Atal Innovation Mission are instrumental, but the report suggests that more targeted support for student-led startups could accelerate their growth.
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