The Outlook Start-Up Outperformers 2023 ranks states and Union territories for factors that determine their popularity as growth-stage start-up destinations
The 28 states and eight Union territories of India represent not just geographical boundaries but also unique business ecosystems where the tangible and the intangible are intertwined to form a complex mesh of factors that influence the way businesses function within these boundaries.
To what extent does the presence of institutes of excellence impact the quality of ideas and budding businesses in a state? What significance does the pupil-teacher ratio have in the ranking of states on the basis of start-ups? How does government intervention help regions blossom into preferred start-up destinations? Which state recognised the potential of tech-enabled innovations early on and is now reaping the first-mover advantages?
Find the answers to these questions from the Outlook Start-Up Outperformers 2023 rankings, which ranks all the 36 states and Union territories on their ability to support growth-stage start-ups by providing an enabling environment. The November 2023 issue of Outlook Business presents detailed analysis of the ranking in a lucid manner and helps understand ongoing trends that keep the start-up ecosystems in states and Union territories vibrant and dynamic. For those keen on getting to the bottom of the process, the methodology has been explained in detail.
A total of 46 parameters have been considered to understand the start-up ecosystems in states and Union territories. Among these are the gross state domestic product and its growth, ease of doing business in the state and of collaborating between the academia and the industry, the internet subscriber base, adoption of digital payment methods, tax incentives and other benefits to growth-stage start-ups, FDI inflow, number of incubators, availability of high-ranked educational institutes and skilled workforce, infrastructure, number of mentors and start-ups, sustainability performance, etc.
Insights into the subjective aspects, like the impact of a state’s culture on decisions to start a new business there or the correlation, or the lack of it, between the presence of institutions of excellence and the quality of start-ups mushrooming there, have been derived from the top 100 growth-stage start-ups as per the ranking.
The research, spread over the last six months, throws up interesting trends, some on expected lines and others a surprise.