Entrepreneurship Development Factors which has impact on profit of IT Entrepreneurship

The aim of this study is to find out the impact of Entrepreneurial Development factors towards the business growth for IT entrepreneurships in Bangalore. Sample is collected from 200 individuals associated with IT entrepreneurships of Bangalore. We have undertaken the 15 entrepreneurship development factors which effect local IT business. We have taken continuous business profit for 3 years as measurement of success factors for the business. During study it was identified that certain Entrepreneurial Development factors has significant impact on business success over other factors.


Introduction
While studying the Entrepreneurship development factors, we identified that the entrepreneurships are influenced by various factors of entrepreneur's ability. These factors either leverage or exploit the condition of the ecosystem to establish the strong business model. From the phase of development of an idea of a business, the entrepreneur's ability to analyze the ecosystem and individual credibility plays major role in shaping up entrepreneurship. The background of entrepreneur, leadership skill, understanding the business, ability to manage business activities and exploiting the ecosystem plays vital role in execution of projects successfully and keep the business profitable. The success of an entrepreneurship depends upon the dependent factor's impact on the business and the ability of entrepreneurship's sustainability with the social, economic and leadership ability of the entrepreneur. During the study we have identified 15 development factors which has variant impact in entrepreneurships and related ecosystem.

Literature review
There are multiple factors which effect the entrepreneurship development factors and some of those contribute from environment (government, legal-fiscal) and some are individual characteristics of entrepreneurs. Shaping up the overall development model depending upon the factors contributing and/or creating perceived impact. To deep dive and understand the micro external environment Boardman et al. (2004) and Johnson et al.
(2008) suggest using the five forces framework (completive rivals, new market entrants, suppliers, customers and product substitute) developed by Porter (1980). Porter's Five Forces framework help understanding a company's competitive environment. Five Forces analysis cis used to guide business strategy to increase competitive advantage Leff (1978) found that implementation of banking system that helps business to obtain formal fund promoting entrepreneurship. The effective usage of communication among companies in the eco system through cost effective information technology and strong management skill help promoting business. To analyze the business external environment of an entrepreneurship, PESTLE analysis can be conducted. PESTLE analysis is a way to understand and evaluate the external environment of a business (Morden, 2007). In our business ecosystem, all organization is affected by external environment. Without understanding the external environment under which the new business is getting formed can't create right strategy. PESTLE analysis is a useful tool for understanding the "high level picture" of the environment in which the entrepreneur's new firm will be operating. In the age of globalisation, all business promote employee as a vital part of organization management system. This encourage Empowered employees to take better role and responsibilities and are willing to perform more efficient and effective manner compared to employee of legacy system-based organization culture (Agnete, Alsos G. and Ljunggren Elisabet 1998 "Babson-Kauffman entrepreneurship research conference" Vol 12: Babson Kauffman Institute) In 1993 King and Levine found that financial system plays vital role in the entrepreneurial actions that affects in ISSN: 00333077 5574 www.psychologyandeducation.net multiple ways (1) Business is analysed through the RoI of business case and efficient financial system help choosing the most value added projects after evaluating the factors of projects from the angle of finance (2) Effective financial process help in allocation of funds to ensure smooth execution of projects or business process (3) Mature finance system help investor to understand and map the risk associated with uncertain deliverable or related innovations (4) Robust financial system engage current capabilities to develop customer centric solution in lesser cost. Good financial process accelerates productivity and growth. King suggests that effect government policies toward financial policies may have a strong effect on long term growth. Smallbone and Welter (2001) identified that our economical development is majorly contributed by encouraged entrepreneurs through value addition, job creation and innovations. The use the to help market reformation and develop the market priorities as a part of their business models. The government & it's policies can help Entrepreneurs to handle any market difficulties and create potential for long term. Liu, Burridge, and Sinclair (2002) studied the factors effecting the growth of trade and economic market through FDI in china. They collected and analysed quarterly data for china's local market 's overall import, export and identified the effect on growth through FDI. They also identified the china's open-door policy help local companies to export faster and import effectively through FDI. In 2004, Alfaro et al, examines the relationship between Foreign Direct Investment, local financial market and local business growth. He identified the for some entrepreneur's FDI sector provide better return as FDI sees faster growth in business and stronger footprint in the business ecosystem. This also help in growing countries economy faster. Carland and Carland (2004) researched overall impact of entrepreneurship on generic employment and economic development in USA. Entrepreneurships with < 20 employees have much stronger impact on economy, growth and making a difference on job creation for the decade of 1990's. Also, they identified that small firms have more potential towards future stability and economic reforms and govt. overall policy for entrepreneurship changes the outlook of economic structure. In 2005 Wennekers et al found a U-shaped relationship (The U-shaped curve usually refers to the nonlinear relationship between two variables, in particular, a dependent and an independent variable. Because many analytic methods assume an underlying linear relationship, systematic deviation from linearity can lead to bias in estimation.) between entrepreneurial activities and level of economic development. When countries move from developing to advance, they should create a balance between economic profit, encourage FDI and promote stronger entrepreneurial and management initiatives to better incentive patters for advance countries. Naudé (2008) shows that entrepreneurial activities have vital role has important role on shaping up economy. The entrepreneurial activities bring major change on innovations from all walks of life and contributes the change for better and modern economy. Advance countries promote selfemployment, quick ramp up on job creation and create better dynamics in quality of the solution or products.  In addition to that, the multiple regression shows the impact of each single independent variable on the dependent variable. Furthermore, the analysis can show how the dependent variable changes if the independent variables change and therefore delivers a prognosis. The analysis shows that the factors which has most significant impact towards business profit as they have <0.05 p-value with positive significance 1. Organisational Functional Competencies (0.000) 2.
Competitive advantage of service and product offered (0.012) 4.

Conclusion
Entrepreneurship is not only about starting a new business; it's developing a culture of offering a scope-based solution to the eco-system. In our finding, organisational competency plays major role in entrepreneurship success/performance which is related to the functional areas like customer development, solution development, marketing, finance process, human resource. No business can sustain without an efficient execution of these functional areas.
Entrepreneurial competencies are related with the understanding of business scope, scope of innovation, value added solution, risk taking ability of entrepreneur. When the business is small these competencies plays major role to shape up the business towards gain and growth of success. Competitive advantage of offered product and services in the business eco-system holds the key of customer acquisition and solution penetration. Education of entrepreneur is a fundamental knowledge base through which a start-up business evaluates the market, position to develop right solution. Availability of supplier also play major role where companies depends upon third party toward absorbing value-added demands like software, hardware (machine/servers), people (contractual staff), other technology (salesforce, CRM, network solutions) which plays integral role on the process of development of solution.