Effectiveness of Industry Promotional Tools for Enterprise Growth (A Case Study of Business Incubation Program-Nepal)

Abstract

Entrepreneurship and enterprise are one of the major elements for industrial and economic development. There are numerous elements exists in the internal and external environment of an enterprise. It is vital to identify the strength and opportunities existed in the environment by overcoming the weaknesses and threats. For such type of abilities, a start-up business needs experts advises, counseling and other supports for the initial stages.Here, such models and tools that deliver such business growth counseling and other required facilities by a new entrepreneur are equally important. In the past, most of the reports and research documents had revealed the less appropriateness of many skill and enterprise development programs operated by government and other non government organizations. In such situations, the quest for appropriate tools or models that support enterprise growth in an integrated basis was felt by the government and enterprise sector. As a result, business incubation program was initiated to fulfill the above said need to new start-ups and innovative idea holders to support their enterprise growth. The basic purpose of this study is to assess the appropriateness of incubator model for enterprise growth supports. The appropriateness of this model has been studied in various dimensions like comparing this model with business growth models, strategies and provisions of industrial policy and the growth data of graduated enterprises. For the assessments, the operation modalities of incubator was explored, the current incubator practices and past research and studies showing the need of incubator services in the country were reviewed and business growth data of graduated enterprise were collected and analyzed with suitable tools. The research is qualitative. It is a descriptive study for reviewing and explaining the different aspects of incubator operation, business growth benchmarks, growth models and policy issues. The both sources of data; i.e. primary (enterprise growth data) and secondary (exploring incubator operational modalities, business growth models and industrial policy) were used to collect the data. Questionnaires, observation and other tools were used to collect data.

After the analysis of collected data, the incubator models was found fit with the business growth models, comply with the enterprise promotional strategies and provisions adopted by industrial policy and effective enough for supporting enterprise growth. In this regard, business incubation model can be regarded an effective tools for supporting enterprise growth. This model is still new in the country, government and other stakeholders must take their interest to promote this tools regionally.