Bangalore most difficult city for startups
By
siliconindia news bureau
| |
Bangalore: Startups weighing options to make it big in Bangalore should gear up for more challenges with a survey pinpointing the city to be one of the most difficult places for any any new venture. The report is based on various parameters on setting up industrial and commercial activity such as permits, notifications and inspections in 17 cities across the country, and it puts Bangalore in the 13th position.

International Finance Corporation (IFC), an arm of the World Bank conducted a research in Indian cities and had put Kolkata last in terms of business friendliness. Whereas report puts Delhi, Mumbai and Chennai on 6th, 10th and 15th positions respectively.
According to the report titled 'Doing Business in India 2009', India's ranking has been dropped six places to 122 among 181 countries. India is still not very favourable for doing business and starting new ventures in the country is a 'time consuming affair'. The country faces several bottlenecks, including bureaucratic hurdles, in making its environment attractive for businesses.
Penelope Brook, The acting vice-president of the financial and private sector development, World Bank Group said, "Red tapism and multiplicity of authorities are few bottlenecks that need to be addressed to do business in Indian cities more effectively." To start a business in shortest time in Mumbai and U.P.'s Noida, in just 30 days, wheras Bangalore takes 40 days to start business by obtaining all kinds of permissions.
Despite the drop in ranking, the study says the ease of starting and operating a green-field project in India has improved owing to significant reforms.

International Finance Corporation (IFC), an arm of the World Bank conducted a research in Indian cities and had put Kolkata last in terms of business friendliness. Whereas report puts Delhi, Mumbai and Chennai on 6th, 10th and 15th positions respectively.
According to the report titled 'Doing Business in India 2009', India's ranking has been dropped six places to 122 among 181 countries. India is still not very favourable for doing business and starting new ventures in the country is a 'time consuming affair'. The country faces several bottlenecks, including bureaucratic hurdles, in making its environment attractive for businesses.
Penelope Brook, The acting vice-president of the financial and private sector development, World Bank Group said, "Red tapism and multiplicity of authorities are few bottlenecks that need to be addressed to do business in Indian cities more effectively." To start a business in shortest time in Mumbai and U.P.'s Noida, in just 30 days, wheras Bangalore takes 40 days to start business by obtaining all kinds of permissions.
Despite the drop in ranking, the study says the ease of starting and operating a green-field project in India has improved owing to significant reforms.
Reader's comments(19)
1: I think its better that we are not that easy
on start up businesses, let the rating fall,
I dnt care for that anyway coz it just some
skewed rating most of the time.
because of India\'s beaurocracy to which we abuse all the times we have been saved with some bruises in this recession times.
Luckily we were not that connected with the global economy that we collapse when it does.
I think whatever happens happens for good.
If bangalore is a difficult city to start up a project its better coz bangalore is already so loaded.
because of India\'s beaurocracy to which we abuse all the times we have been saved with some bruises in this recession times.
Luckily we were not that connected with the global economy that we collapse when it does.
I think whatever happens happens for good.
If bangalore is a difficult city to start up a project its better coz bangalore is already so loaded.
Posted by: gargi - 01 Jul, 2009

2:Dont talk nonsense. This idiotic bureaucracy
is the thing that strangles all Indians who
aspire to do business, or even do any decent
work. For an experience, take a commericial
drivers driving permit and drive a lorry from
south to Bombay. See the bureaucracti loot
and the abusive behaviour for yourself. Dont
glorify barbarians and uncouth standards. Or
maybe your belong to the higher class who do
not do 'third class' work in India, but would
run to English nations and do anything!
Ved from Victoria Institutions replied to: gargi
post - 01 Jul, 2009
post - 01 Jul, 2009

3: I agree with Ved. But there is nothing we can
do about it. It is a corrupt system and so it
will remain. On one hand we have some of the
best organisations in the world in Bangalore
creating opportunities and on the other hand
we have such beaurocrats supressing it all.
Prajwal replied to: Ved from Victoria Institutions
post - 01 Jul, 2009
post - 01 Jul, 2009
4: Availability of qualified manpower. This is
the most critical element for starting a tech
company. This is where Bangalore wins.
Posted by: Jim - 01 Jul, 2009

5:how many qualified people are there in
Bangalore 80% of them are from other state
and cities review the employment data and
others 155 are due to demand of nature it
means only 5 % qualified people out there in
blore.
Rajat replied to: Jim
post - 13 Jul, 2009
post - 13 Jul, 2009
6: But why do people want to have start ups only
in Bangalore?
Why not consider Chandigarh which is a Union Territory and has excellent infrastructure and a fairly efficient administrative set up and is easily accessible.In these days communication with IT hub like Bangalore also should not be a problem.
Staying and working in Chandigarh is also not a nightmare like other metros. In fact it is very pleasant place.
I really do not understand why it is not the chosen destination for not only start ups but also established players.
Why not consider Chandigarh which is a Union Territory and has excellent infrastructure and a fairly efficient administrative set up and is easily accessible.In these days communication with IT hub like Bangalore also should not be a problem.
Staying and working in Chandigarh is also not a nightmare like other metros. In fact it is very pleasant place.
I really do not understand why it is not the chosen destination for not only start ups but also established players.
Posted by: Harbans Singh - 01 Jul, 2009
7: Actually whatever the situations, the people
of india make the project of anyone. But now
the bangalore city may be very cool. the
people of business organizations make it as
privitised all the things and they are doing
frauds. so because of this reason the india
may be decreasing the position of ranks. Its
my view
Thanks for giving this oppurtunity to express my view.
Thanks for giving this oppurtunity to express my view.
Posted by: Praveen Asur - 01 Jul, 2009
11: I totally agree and its very sad to state
that Bangalore is far far behind comparing
any other city. For example Mumbai anything
is possible provided you have a objective and
blangalore nothing is possible even though
you have a positive objective. Also look at
the people attitude in terms of work force or
others, very backward, insecured and lazy.
Posted by: Manoj - 01 Jul, 2009

12:How do you compare people of different cities
and conclude like this ? Mumbai has different
environment as mostly emmigrant people and
urge to do better .However ,if you have urge,
you get good people every where. Laziness is
not special to Banglore my dear! Buracracy
may differ from State to state , still agents
have a major role in permits and clearnace in
State.
Santhosh replied to: Manoj
post - 01 Jul, 2009
post - 01 Jul, 2009
13: its very shocking to those people who have
the dreams to start a new ventures in the
city like bangalore,but i guess apart of all
hurdles if you are able to kick a start then
you are definetly goin to make money here
very easly.
Posted by: praveen - 30 Jun, 2009

14:hi praveen.
i agree with your view. that once the project kicks off.its very easy to mint money in Bangalore. its land of oppurtunities
thanks for not letting Bangalore down
i agree with your view. that once the project kicks off.its very easy to mint money in Bangalore. its land of oppurtunities
thanks for not letting Bangalore down
chandrakanth sharma replied to: praveen
post - 01 Jul, 2009
post - 01 Jul, 2009

15: Yes Banglore is land of opertunities.U can
start business here it is safe hands if u
take little care u will be get profit
sertinly.
because banglore peoples are mentaly and cultural dirvirsities.thts u can gain more out of from less.
but i know and agree the servay results because banglore administrative is very poor thts why taking more time to start and also it is very expensive when compare to other cites except mumbai.
because banglore peoples are mentaly and cultural dirvirsities.thts u can gain more out of from less.
but i know and agree the servay results because banglore administrative is very poor thts why taking more time to start and also it is very expensive when compare to other cites except mumbai.
Praveen replied to: chandrakanth sharma
post - 08 Jul, 2009
post - 08 Jul, 2009
16: The system prevails in all other areas
too,sadly it is true and will take a lot of
effort to bring things to a sane level
Posted by: John Abraham - 30 Jun, 2009
17: Obviously! Because of the totally arrogant,
inept & corruption at its peak it is very
difficult even for a common citizen of
Bangalore to get his work done in a
Government Office.
Posted by: Sheshadri - 30 Jun, 2009

18:In most of the Govt.Offices, employees will
sit and chat long time,if we go there for a
work, they will start telling that they don't
have enough man power!.The most shocking
thing is no higher official is monitoring the
daily activities of their subordinates.
Viswanath replied to: Sheshadri
post - 30 Jun, 2009
post - 30 Jun, 2009
19: Being called as the silicon valley of India
its shame for Bangalore to take so much time
in starting any business.
Posted by: navneet - 30 Jun, 2009
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