Indian Start-Ups Lack Originality, Imitating Western Models: Suhel Seth
- Suhel Seth criticizes Indian start-ups for copying Western business models instead of innovating.
- He urges ventures to focus on unique, tech-driven ideas that reflect pride and originality.
- Minister Piyush Goyal also slammed superficial start-ups, calling for long-term, nation-focused entrepreneurship.
Indian start-ups are facing sharp criticism from industry leaders for lacking originality and relying heavily on Western business models. Speaking at the Confederation of Indian Industry (CII) Annual Business Summit 2025, Suhel Seth, Managing Partner at Counselage India, stated that most new-age ventures in the country are merely replicas of already successful global ideas.
“When I look around the start-up ecosystem in India, I find almost all of that replica. And all of that is a copy of what has already been done in the West. A guy wants to start a vada-pav shop, he calls himself a startup,” Seth remarked, as quoted by PTI.
He stressed that a true start-up must go beyond imitation. According to Seth, an authentic start-up should represent a technological leap, be non-replicable, and instill pride among its creators. He argued that very few Indian ventures meet these standards and that the ecosystem is overly obsessed with valuations, unicorn status, and founder wealth rather than true innovation.
Seth also questioned why India, despite its vast talent pool and expanding digital infrastructure, has yet to produce tech giants like Facebook or Google. He attributed this shortfall to societal pressures, risk aversion, and the absence of an innovation-friendly ecosystem.
The remarks follow Union Minister Piyush Goyal’s recent comments at the ‘Startup Mahakumbh 2025’ held in April, where he delivered a scathing critique of India’s entrepreneurial direction. Goyal said many start-ups were glorified lifestyle businesses rather than transformative ventures. “Are we happy about being delivery girls and boys? Food delivery apps are turning unemployed youth into cheap labour so the rich can get their meals without moving out of the house”, he said.
He further mocked the trend of wealthy individuals launching niche food products and labeling them start-ups. “Kids of billionaires are making fancy ice cream and cookies and calling it a start-up”, he noted.
Goyal also expressed disappointment over promising start-ups selling out early to foreign companies for modest sums. “When I come to know that a bright idea of a young start-up got sold to a foreign company for Rs 25 lakh or Rs 50 lakh, I feel sad about it”, he said, urging entrepreneurs to build long-term, India-centric ventures.
As the debate grows, industry watchers believe the current criticism could serve as a much-needed wake-up call for the Indian start-up ecosystem to refocus on originality, sustainability, and nation-building.
