Ease of doing business for MSMEs: The index, topped by the US, Lithuania and Romania, released last week was undertaken by Shopify along with Deloitte to calculate the GDP impact, business activity impact, jobs supported, and exports generated by millions of entrepreneurs on Shopify in 2022.
Ease of doing business for MSMEs: The economic impact on India by its entrepreneurs — part of the e-commerce platform Shopify — has put the country in the 26th spot on the Shopify Entrepreneurship Index involving 40 countries. The index, topped by the US, Lithuania and Romania, released last week was undertaken by Shopify along with Deloitte to calculate the GDP impact, business activity impact, jobs supported, and exports generated by millions of entrepreneurs on Shopify in 2022.
To rank countries, the impact calculated was compared to “national values for each country and state” using public data from the International Monetary Fund (IMF), the Organization for Economic Cooperation and Development (OECD), the International Labour Organization (ILO), and government statistical agencies.
According to the index, Indian entrepreneurs on Shopify contributed Rs 13,900 crore to India’s GDP in 2022, an increase of 9.6 per cent from 2021. They also generated Rs 30,100 crore in business activity, up by 9.8 per cent in 2022 from the previous year.
The index “showcases the extraordinary growth of e-commerce in India, prompting an influx of entrepreneurs entering the market to grow their business. This surge can be attributed to India’s commitment to digital transformation and technological advancements, which have fostered an environment conducive to promoting and enabling entrepreneurial endeavours,” Shopify said.
As a platform, Shopify allows businesses to set up their online stores and sell products and reportedly has over 1.75 million sellers globally. According to analytics company BuiltWith, Shopify had 4.1 million live e-commerce sites built worldwide so far out of a total of 6.6 million, of which 41,077 websites were from India.
In terms of employment, Indian merchants on Shopify created 2.23 lakh jobs in 2022, growing by 10 per cent from 2021, according to the index.
“As India continues its journey towards digitalisation and economic expansion, its ranking on the Index is a testament to the country’s thriving digital landscape and the opportunity for forward-thinking entrepreneurs to build high-growth retail brands online,” said Bharati Balakrishnan, Director and Country Head – India and Southeast Asia, Shopify.
However, exports from Shopify’s Indian merchants declined by 1.5 per cent in 2022 to around Rs 704 crore compared to the previous year with just 18 per cent of Indian merchants now selling cross-border online.
India was ranked above Israel (27), Switzerland (28), Vietnam (30), Indonesia (31), Brazil (37), Argentina (38), Portugal (39) and South Africa (40). Regionally, Asia dominated the Index with four countries in the top 10 — Australia, China, Hong Kong and Japan — and 10 countries in the top 40.
https://www.financialexpress.com/industry/sme/msme-tech-india-ranked-26th-in-economic-impact-created-by-e-commerce-entrepreneurs-shopify-entrepreneurship-index/3100093/
