In the line with the dominance of services sector that contributes about 53% to the gross domestic production of India, startups in this space outnumber their counterparts in manufacturing segment. But startup mentors feel that the time has come for their convergence.

Girish Gupta, Chief Executive Officer of Rajasthan Venture Capital fund said startups in the services sector with the backing of technology have disrupted the traditional delivery models. “We need similar innovations in product designing and process engineering in the manufacturing that can challenge the established manufacturers, at least in the MSME sector. As a fund, we have invested in several startups in manufacturing sector,” said Gupta at the MSME conclave organized by CII-Rajasthan.

Today, there are multiple startups in any given sector or segment competing for bigger share of the market. Chintan Bakshi, Chief Operating Officer at Startup Oasis, feels that a convergence will between the manufacturing and services is very much a possibility which can become a reality in a few years.

Citing an example, Bakshi said, “A laundry aggregator can change the way the traditional laundromats work. An aggregator also wants to have laundromats that consume less water, have shorter turnaround time and offer better quality. All these will reduce his cost. That’s where the need for convergence would arise,” added Bakshi.

GirnarSoft Co-Founder Anurag Jain, who along with Nishant Patni of CultureAlley narrated their entrepreneurial journeys, said while funding is required it is the power of the business idea that can decide the future of any startup.

Source: The Economic Times