The purpose of this paper is to study the problems faced by small‐scale entrepreneurs in Nellore District of Andhra Pradesh, India and also to study the opinions of entrepreneurs regarding what are the different factors which are helpful for success of entrepreneurship.
The present paper is conducted by choosing a sample size of 30 per cent (196 units) randomly from the total population of 653 units. The data are collected through a structured questionnaire, informal interview and analyzed by using mean, ANOVA and Z‐test.
It is found that high price of raw materials, lack of marketing information and marketing of products are major problems faced by the entrepreneurs, followed by competition from small industries and absenteeism of labour. The majority (about 90.3 per cent) of the respondents did not want to make any complaint to government agencies.
The findings help to know the problems faced by small‐scale entrepreneurs in a developing country such as India and also help the policy makers to solve these problems.
