Rural Entrepreneurship: Meaning, Objectives, Types, Characteristics | Management

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Rural Entrepreneur: A person who carriers business activities in rural sectors of the economy is basically called a rural entrepreneur.

According to Khadi and Village Commission Rural business is, “ A Industry set up in rural areas, the population does not exceed 10000 people and has a fixed capital expenditure per head that does not exceed a thousand rupees”.

The main goal is the improvement in the lifestyle of the rural people i.e. to overcome the hurdles they face in achieving their day to day face.

Also the growth of rural industry Is important so that rural sector can also contribute in the growth of GDP in the country.
Agro based Industries: It includes vegetables, wheat, rice, fruits. Everything related to agricultural production come under it.

Textile Industry: All the handloom products, khadi industry comes under it.

Forest based Industry: It include, honey, timber, tobacco etc. All the forest produce come under it
Problems faced in Rural Entrepreneurship
Marketing problem: It is a wide subject. One need to be conceptually clear before applying it to real life. So this problem needs to resolved.

Financial problem: This is a common problem specially in rural areas. People want to contribute but there is paucity of funds, lack of infrastructure like roads, electricity and all.
Human Resource Problems: People does not have adequate skills to perform a task and also they lack the skills to manage the human resources in an organization.

Lack of family support: In rural areas people are averse to risk as they think about the uncertainty in the returns
How to improve
Providing entrepreneurial training and motivation for higher goals in life is important.

There should be a proper provision regarding the basic infrastructural facilities to be given in each rural area by the government.

Also it is very important to monitor whether the programmes which are implemented are achieving their purpose or not
Lets Practice
Rural industry does not include?

Mineral based work
Electronic goods work
Forest based work
All of the above
The problems faced in setting rural business is ?

All of the above
00:00 Rural Entrepreneurship
00:10 Meaning
00:52 Objective
02:18 Types Of Rural Industries
03:47 Problem Faced In Rural Entrepreneurship
07:46 How To Improve
11:47 Lets Practice
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