While startups in India have achieved notable success in fostering entrepreneurship in the country, there are certain structural issues challenging the sustainability of startups in India. Elucidate upon these challenges faced by startups and recommend solutions for the problems.

On last one decade, start ups have dominated India's growth story, with nearly 187 increase in start-ups from 2010, upto 2022. Success of Start-UPS: 1) Diversifying the industrial and service sectors. Eg: More than 500 start-ups in space industry. 2) Female empowerment => nearly 20% of start-ups are owned by women. Eg: NYKAA => 150 decades with female CEO. 3) Employment generation => especially handling the low employment generation by poor manufacturing sector. 4) Global supply chains integration => start-ups contribute to 25% of the India's role in global value chain. Structural challenges: 1) Funding challenge => start-ups are undergoing 'winter' period in accessing funds => issue of more than 500 start-ups in 2023. 2) Low levels of market demand due to recessionary and pandemic induced weak economic growth. 3) Lack of indigenisation in product development => dependent on imported raw material. 4) Slow and inconsistent government reforms. 5) Weak performance of the insolvency and bankruptcy code.

Manufacturing sector. 4) Global supply chains integration => start-ups contribute to 25% of the India's role in global value chain. Structural challenges: 1) Funding challenge => start-ups are undergoing 'winter' period in accessing funds => issue of more than 500 start-ups in 2023. 2) Low levels of market demand due to recessionary and pandemic induced weak economic growth. 3) Lack of indigenisation in product development => dependent on imported raw material. 4) Slow and inconsistent government reforms. 5) Weak performance of the insolvency and bankruptcy code recovery makes reduced from 45% to 32%. Practical solutions: 1) Government credit support and viability gap fundings. 2) Developing start-up infrastructure development fund => for initial investments in capital growth. 3) Focusing on problem solving in rural area => untapped market potential. Eg: Nyishi tribe => 5D animal parts start-up. 4) Integration of Indian start-ups with global supply chains => localising critical parts manufacturing. Thus, schemes like Startup India, Stand-up India, AIM-Mission of Niti Aayog are steps in the right direction.