Globally, entrepreneurship has become a key driver for job creation. As policymakers grapple with economic uncertainty and cultural shifts, the big corporations that traditionally created jobs are dying to the ground. Between 2003 and 2013, 712 companies disappeared from the Fortune 1000. It can be safely extrapolated that very few Fortune 1000 companies will exist in another 30 or 40 years. However, a new generation of innovators and daring in the form of entrepreneurs is starting to line up on the horizon of the business world. According to a report by the Kauffman Foundation, industrial-age companies in the US laid off more jobs than they created, in contrast to high-growth startups that created the most new jobs in 2000 and 2010. Facebook is credited with creating 4.5 million. new jobs, directly and indirectly. This global trend makes a strong case for supporting Indian start-ups and entrepreneurs as a means of creating jobs in the future.

However, it is even more important to create a support system that ensures the survival of startups beyond the first five years. In other words, once invested in a start-up, the return on investment (ROI) can only be assured when the investment finds more support. This is critical as 70 to 95 percent of new businesses fail or go out of business, resulting in disproportionately high job destruction. Studies have shown that 47 percent of the jobs created by start-ups are eliminated by exits in the first five years. It is the surviving 53 percent of companies that experience rapid growth and generate extensive job creation.

This means that government policy must be tailored to practical needs, while also addressing the problem areas of Indian entrepreneurs. Policy must address: financing to make it more readily available to entrepreneurs; build a large group of experienced mentors and advisors who provide input around labor and resource management, legal and marketing, partnerships, and technology; and provide mechanisms to improve access to local and global markets.

It is obvious that supporting entrepreneurship is a medium to long term approach. The question that needs to be answered is: what type of entrepreneurship should be prioritized for support to ensure success and subsequent job creation? Today’s market has become hyper-competitive. Just take a look around you. There are more options available to consumers and business buyers than ever before. There are new business models that do not require buyers to own products or commit in advance to subscribing to long-term services. Delivery systems have changed, allowing companies to reach customers in remote locations and new markets, breaking down geographical and political barriers. Entrepreneurs are innovating to birth entirely new businesses with little capital like Uber, Ola, Airbnb, Oyo Rooms, Zomato, Foodpanda, PayPal and Paytm. These businesses are reshaping entire industries, forcing traditional players to rethink their strategies.

Igniting the entrepreneurial spirit and sustaining it is also a long-term task. Not everyone is blessed with the DNA of entrepreneurship. It is necessary to foster a culture of free enterprise. Today, one of the nations that has taken positive steps toward creating such a culture is the US, where 1,600 universities offer more than 2,200 courses that ‘train’ students in entrepreneurship. These courses build knowledge through academic study, hands-on industry experience through apprenticeship programs, entrepreneurship clubs, boot camps, and access to investor networks and support systems. Education, without a doubt, is a way to ensure higher success rates for entrepreneurs. In India, we need to create cost-effective and scalable educational models that help reach students through video and mobile technology on MOOC platforms that transform teaching into learning, thereby eliminating the need for massive armies of instructors and trainers.

Lastly, a substantial demographic in the form of Indian women remains untapped. Of all entrepreneurs in the country, only 10 percent are women. Yet even within this small number, women entrepreneurs from India (Kiran Mazumdar-Shaw, Sulajja Motwani and Ekta Kapoor, to name a few) have been in the spotlight. Significantly, a Dow Jones study has confirmed that startups with female executives have a higher chance of success. What they need to be successful is education, professional training, access to finance, and interaction with entrepreneurs and buyers from around the world. According to the Organization for Economic Cooperation and Development (OECD), the annual growth of the Indian economy could improve by 2.4% if the country implements pro-gender policies.

Historically, Indian society and the educational system have focused on creating doctors, lawyers, accountants, etc. These professionals are a must. But after decades of conditioning, the nation is realigning itself with corporate culture. We are on the cusp of business success. This opportunity should not be lost due to a lack of world-class policies and support systems.