Venture Capitalists Sound Cautionary Note as Startup Funding Tightens
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In the wake of devastating earthquakes, heatwaves, and the rise of near-sentient AI, venture capitalists are sounding a cautionary note as startup funding tightens.
Existential Risks for India in 2022
The India Risk Survey 2022 has captured the risk patterns well, highlighting that existential risks for India today are based on cyber-security and IP protection, and climate change. The survey found that intellectual property theft, information and cyber security threats, and accidents were ranked as the top three business threats in India.
Quotes from Industry Leaders
“We need to be proactive and vigilant, organized and connected,” said Mr. Ashish Rajvanshi, Chair, FICCI Committee on Drones and President & Head, Chairman’s Office, Adani Group. “The new era of warfare opens us up to unusual and new risks, where attacks can be coordinated from thousands of miles away at the click of a mouse.”
“Risk is no more just the domain of the CEO or the Chief Risk Officer,” said Mr. Rajvanshi. “Each function and stakeholder needs to consider themselves a Chief Risk Officer of their domains and ensure that risks are adequately called out, mitigated judiciously and the lessons captured diligently.”
Global Risk Trends Affecting India
The tightening of startup funding is reflective of the changing risk landscape, with global risk trends having a cascading effect on India. Tensions between the US and China are resulting in shifts of manufacturing bases towards India for higher-end products like smartphones, electronics, and automobiles.
Defence spending is increasing rapidly as countries hustle to scale up their capabilities and secure their borders. The survey highlights that companies need to adapt to these new working conditions effectively, especially in domains where exposure to heat/weather conditions is high.
Top Risks Facing Businesses in India
The survey identifies the following top risks facing businesses in India:
RISK TREND 2022
- Intellectual Property Theft
- Information & Cyber Insecurity
- Accidents
- Business Espionage
- Threats To Women Safety
Conclusion
As India navigates an uncertain global environment, it is crucial for businesses to leverage technology, build risk capabilities deep into their organizations, and carefully navigate the business environment in which they operate. The survey concludes that winning players need to tread the fine line between opportunity and risk, pulling together an ecosystem-wide approach to managing and mitigating risk.
About the Survey
The India Risk Survey 2022 is a comprehensive report that identifies the top risks facing businesses in India today. The survey was conducted among business leaders and risk professionals across various industries and sectors.