TY - JOUR T1 - New and Nascent Enterprises: <em>Analysis of Incubation Support in India</em> JF - The Journal of Private Equity SP - 69 LP - 85 DO - 10.3905/jpe.2013.16.3.069 VL - 16 IS - 3 AU - A. Thillairajan AU - Ankit Jain Y1 - 2013/05/31 UR - https://pm-research.com/content/16/3/69.abstract N2 - Incubation centers have emerged as an important source of finance and support for new and nascent companies. In line with the worldwide trend, there has been a substantial increase in the number of incubation centers in India during the past 10 years. Using data from 159 incubators and a sample of 1,058 incubatees from 40 incubators, this article provides an analysis of the trends in incubation support in India. Universities play an important role in providing incubation support—67% of the incubators were based in universities. Not only are there more incubators functioning in universities, but they have also been functioning for longer. In addition, 57% of the incubators were in private organizations, and 43% were in public sector organizations. There are interesting variations between incubation support and venture capital and private equity (VCPE) investment in India. Most of the VCPE investments in India are seen in metro cities, whereas in the incubation, most of the incubation centers and incubatees are located in non-metro cities. VCPE investments are largely driven by the private sector, whereas the public sector plays an important role in incubation support and financing. Private sector incubators are more effective than public sector incubators, as measured by the activity indicator and graduation ratio.TOPICS: Private equity, emerging, equity portfolio management, quantitative methods ER -