Entrepreneurship in Pakistan

Entrepreneurship
Entrepreneurship in Pakistan

Prepared By: Hafiz Abdul Basit M.Com 1st

Govt. College University
Faisalabad

Entrepreneurship
Process of new things assuming risk and reward:
Creating new things involve innovation and creativity while in such new things there is also a possibility of risk. So the reward is higher than any other non-entrepreneurial work.
My Own Views about Entrepreneurship:
As we know “No risk, No gain”. So to gain some thing we have to take risks but it should be moderate. * Entrepreneurship is selection of profitable but moderate risk * It is an art of money making * Conversion of thinking in to a practice * Searching an opportunity in a problem
Entrepreneurship in Pakistan:
Pakistan is a developing country from the beginning and still we are vicious circle of poverty. Entrepreneurship is the most important weapon to tackle poverty but there are some factors in Pakistan which are against the entrepreneurship.
Aid from Developed Countries:
Pakistani economy is based on the aid from the international institutions and countries. Aid is only helpful for the short time growth in economy. It also works as killing agent for entrepreneurship. Aid based economies can never grow but entrepreneurship can totally change the economic condition.
Government Policies in Pakistan: In Pakistan policies are generally suitable for elite class. These people have a big part of resources of country. So there is no need to take risk because policies are favorable for them. On the other hand small scale and new businesses find nothing much in such policies. So for them there is a higher value of risk.
Rent Seeking:
Manipulation of some big groups is also a hurdle in innovation because they are economically strong and making money by rent seeking. So there is no need to create and invent.

Neglecting the Small Scale Businesses:
All the economical institutions only the large scale business because there is a financial security. So they don’t want to take risk by financing small groups.
Subsidy for Land and Taxes on Productive Work:
In Pakistan there is no tax on the agricultural income or major type of taxes are bearded by the productive units only. So the investor invests in land and do not take risk by investing the productive work.
Inequality:
Many facilities are only for the financially strong groups. Small scale businesses cannot promote their products and there are also problems in the higher and international markets.
Profitability:
Land profit is higher and there are many land lords in the parliament making policies suitable for them.
Absence of Innovation:
As innovation is the key of entrepreneurship and we lack in this because there is no encouragement for innovation in Pakistan.
Conservative Approach:
In our country businesses are not so dynamic and people are conservative. They do not want to try new options.
Corruption:
Entrepreneurship is also discouraging because of corruption as people have no reward for the productive work they do.
Conclusion:
Although there are a lot of problems in Pakistan but every problem is an opportunity. Converting problem in to opportunity is entrepreneurship.