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A term paper

On The
Current Scenario of Entrepreneurship in
Bangladesh
A Term Paper
On
The Current Scenario of Entrepreneurship in Bangladesh
Department of Management
University of Dhaka

Prepared for:

Ethica Tanjeen
Assistant Professor
Department of Management
University of Dhaka

Prepared by:

Group of Inspirit
Department of Management
University of Dhaka

Date of Submission: 23rd march, 2017


Group Profile
Group Name: INSPIRIT
Group Number: 11

Sl. No Name ID
01 Fetema Tuz Zohra Poly 024-101
02 Mousumy Akter 024-102
03 Md. Robin Bepari 024-103
04 Md. Kamruzzaman 024-104
05 Maisha Ahmed 024-105
06 Mahin Mahood 024-106
07 Md. Billal Hosen 024-107
08 Md. Ibrahim khalilullah 024-108
09 Shahnaz Parveen 024-109
10 Ferdowsy Nusrat 024-110
Acknowledgement

At first we would like to thank the Almighty Allah for giving us the strength to complete this
term paper. Secondly we would like to express our special thanks to our respective teacher
Ethica Tanjeen who has given us the golden opportunity to do this wonderful work on the
topic The Current Scenario of Entrepreneurship in Bangladesh which has also
helped us in doing a lot of research and we have come to know the barriers and the existing
opportunity to become an entrepreneur and the overall present situation of entrepreneurship
in Bangladesh.

At last, we would also like to thank our group members who have helped a lot in finishing
this report within the given time. We are making this report not only for marks but also for
increasing our knowledge.
Letter of Transmittal

23rd March, 2017

Ethica Tanjeen
Assistant Professor
Department of Management
University of Dhaka

Subject: An application for requesting to accept the term paper.

Dear Mam,
We are highly pleased to submit our term paper on the Current Scenario of Entrepreneurship
in Bangladesh. To prepare this term paper we have tried our level best to accumulate all the
relevant information and we have also collected the data from the available sources and we
made our best effort to make this term paper very sincerely.

Thank you so much for giving us the opportunity to prepare this term paper for you and we
hope that this term paper will meet the standards of your judgment. We also hope that any
limitations in our term paper will be a subject to your kindful consideration.

Sincerely yours,
______________

On behalf of Inspirit
Maisha Ahmed
Group Co-ordinator.
Executive Summary
Table of content
Chapter 2
Current Scenario of Entrepreneurship

We are concentrating on the current position of entrepreneurship in the economic sector of


Bangladesh.
We are going to show the sectors entrepreneurs are occupying and the percentage of male and
female entrepreneurs in those sectors. For this purpose there are some terms about which we
need to have a clear idea.

Working Proprietors: Working proprietors include all individual proprietors and partners
actively engaged in the work of the establishment excluding silent or inactive partners.

Permanent Establishment: An economic unit outside household having fixed location and
permanent structure is a permanent establishment.

Temporary Establishment: An economic unit located in a fixed place beside a road or in a


market place outside household, under a temporary shed for a year or more is a temporary
establishment.

Economic Household: Households those have non-agricultural economic activities such as


cottage industry, shop or workshop in or within its premises are classified as economic
household.

Entrepreneurs in Different Establishments

Working 2001-2003 2013


proprietors
Total Male Female Total Male Female
person person
engaged engaged
Permanent 27,59,738 27,17,749 41,989 40,57,989 39,99,949 58,040
establishment (98.4%) (1.6%) (98.6%) (1.4%)

Temporary 3,41,748 3,37,498 4250 4,77,616 4,66,437 11,179


Establishmen (98.8%) (1.2%) (97.5%) (2.5%)
t
Economic 3,94,634, 3,32,379 62,255 28,16,419 24,53,829 3,62,590
household (84.2%) (15.8%) (87.1%) (12.9%)

Total 34,96,120 33,87,626 1,08,494 73,52,024 69,20,217 4,31,809


Source: Economic Census of Bangladesh 2013

From this table, we can see that entrepreneurs are mainly concentrating in the permanent
establishment for doing business. But women entrepreneurs are more in numbers in economic
household sector.
Again we can also find some additional information from this table.They are:
(1) 78.9% entrepreneurs are engaged in permanent establishment.
(2) 9.8% entrepreneurs are engaged in temporary establishment.
(3) 11.3% entrepreneurs are engaged in economic household.

SME (Small and Medium Enterprise) is the seedbed of entrepreneurship. Generally,


entrepreneurs start their business by going for SME. Day by day, the number of SME is going
upwards. The following table shows how SME is growing in numbers every year from 2001-
2007. The growth of SME is still increasing at a higher rate.

Growth Pattern of SME

Year Growth percentage of SME


2001-2002 7.69
2002-2003 7.21
2003-2004 7.45
2004-2005 7.93
2005-2006 9.21
2006-2007 10.28
Source: Bangladesh Economics Review 2006-2007

Contribution of SMEs in the GDP on Bangladesh


Number of workers Total contribution to GDP Percentage of total
contribution

0-1 193996555714 26%


2-5 379663897358 51%
6-10 73120983681 10%
11-20 45183240157 6%
21-50 33960498076 5%
51-100 15138922373 2%
Total 741064097360 100%
Source: ICG. MIDAS Survey 2003
The above table is presented to show how much effect a size of SME can have on the GDP it
provide to the total GDP of the country. GDP is one of the most important factor that shows
the economic condition of our country, In that GDP SME provide a certain portion of GDP.
The above table is simply showing which size of SME is contributing how much to that
portion of GDP, As we can see, SME having 2-5 members are contributing more to the GDP
produced by SME compared to others. On the other hand, SME having 51-100 employees are
contributing the least. This is happening because the number of this size of SMEs are not that
much higher than the other sizes.
Chapter 3

Recommendation
We have a course about entrepreneurship development and as we are students under this
course, we have some recommendation to increase entrepreneurs in Bangladesh. These
recommendation are given below:

1. Different kinds of seminar must be held to increase awareness among people about
the benefits of entrepreneurship.
2. Arranging motivational seminars and workshop to inspire the entrepreneurs.
3. Government may take initiative to provide proper help to the entrepreneurs.
4. Government and different NGOs may provide loan among the entrepreneurs at low
interest rate.
5. Government may provide them more tax exemption facilities.
6. The higher studies can be inspired to entrepreneurship-oriented; not job-oriented.
7. The government and NGOs may pay special attention for the development of SMEs
in Bangladesh.
Conclusion
Bangladesh is a developing country and our economy is not developed. A huge number of
people are unemployed for lack of job opportunities. For this reason, the unemployment rate
is very high. So, the competition among the job seekers is also very high in Bangladesh.
Entrepreneurship can be the greatest solution for us to reduce this unemployment rate. If
more people become entrepreneurs, it will not only help us in earning profit but also create
employments for many unemployed people. And increasing the number of entrepreneurs can
play the most vital role to develop our economy. Only government cannot play the role to
increase entrepreneurs, we should help the government. We have to determine that we cannot
only become the job seekers, we have to provide job opportunities among the people.
Bibliography

(1) http://www.bbs.gov.bd.com
(2) http://www.entrepreneur.com
(3) http://theinterngroup.com
(4)Thomas W. Zimmerer, Norman M. Scarborough (2008), Essentials of Entrepreneurship
and Small Business Management, 5th Edition, US.