STUDY ON IMPACT OF GOVERNMENT INITIATIVE OF ENTREPRENEURSHIP DEVELOPMENT IN KARNATAKA

ABSTRACTThis study examines the impact of government initiatives on entrepreneurship developmentin Karnataka, with a special focus on micro, small, and medium enterprises (MSMEs). Theresearch evaluates the extent to which schemes such as Startup Karnataka, ELEVATE,financial subsidies, and training programs have contributed to business growth, employmentgeneration, and innovation. Primary data was collected from 117 entrepreneurs acrossdifferent districts of Karnataka. Statistical tools, including chi-square tests, were used toanalyse relationships between demographic variables and the utilization of governmentsupport.Findings indicate that while government initiatives have created a strong foundation forentrepreneurship, their effectiveness remains uneven. Awareness levels are moderate, yetapplication rates for schemes are relatively low due to barriers such as slow processing,complex procedures, and limited outreach. Financial assistance has supported revenue growthand credit access for some enterprises; however, its impact on employment generation andlarge-scale scaling remain limited. Hypothesis testing revealed that enterprise typesignificantly influences scheme participation, while demographic factors like gender, district,and education do not show significant differences.The study concludes that Karnataka’s policies are progressive and inclusive, but challenges indelivery and accessibility reduce their overall impact. Recommendations include simplifyingapplication processes, improving and strengthening awareness campaigns, expandingmentorship, and enhancing transparency. If implemented effectively, these measures canreinforce Karnataka’s position as one of India’s leading hubs for entrepreneurship andinclusive economic growth.