Development of human capital plays a key role in the growth of entrepreneurship activities and economic viability of business startups in a country. Business firms achieve skill development in the managerial, technical domains through apprenticeship, on-the-job and off-the-job training programs. A firm’s investment decision in apprenticeship programs is affected by various factors. The first paper we present in this issue focuses on analysis of such factors that determine training propensity. The paper, “Training Propensity of Startups in Switzerland: A Study Based on Data for the Startup Cohort 1996-97”, by Spyros Arvanitis and Tobias Stucki, has attempted to analyze how the determinants of training propensity of startups in Switzerland change with increasing firm age. They found that the level of education among employees, employment growth, sales growth, expected future development of demand and firm size are positively correlated with training propensity.

In the paper titled, “Venture Capital Exit: In Pursuit of Optimal Strategy”, Raghupathy M B and Thillai Rajan A, have discussed the studies relating to the exit route and exit timing of venture capitalists. They have reviewed the studies related to the decisions regarding the optimal exit route, identification and grouping of basic five routes. Their review also included other factors related to venture capital exit such as the partial exit, foreign IPOs, use of convertible securities, etc. Finally, their paper also covered studies relating to the exit timing decisions. The authors further recommend appropriate exit strategies with different combinations of type and timing which is expected to give some beneficial guidelines to the executives of the venture capital firms as well as the entrepreneurs.

In the paper titled, “SKDRDP’s Successful Experiment with Group Entrepreneurship”, Devaraj K and Vidyavathi K, have analyzed the functioning of SIRI Gramodyoga Yojane,

a program which is initiated under Sri Kshetra Dharmasthala Rural Development Project (SKDRDP) in South India. SIRI Gramodyoga Yojane is designed to provide livelihood to poor rural women through group entrepreneurship. This paper makes an attempt to identify the key support structures and other important aspects of the support environment from the case of SKDRDP in promoting group entrepreneurship among rural women.

The paper titled, “Self-Employed Artisan Entrepreneurs: An Empirical Study of Lock Manufacturing Units in Dindigul District, Tamil Nadu”, by G Jeyanthi has focused on

(a) evaluating the organizational performance of lock manufacturing units; and

(b) recommending suitable interventions to improve their performance as well. The author provides us a detailed profile of the units operating in the region and brings forth challenges faced by them.

-- S Senthil Kumar
Consulting Editor