India has the lowest entrepreneurial exit rate among factor-driven and BRICS countries surveyed by the Global Entrepreneurship Monitor (GEM), a global consortium researching on entrepreneurship.
The GEM India Report says that only 2.3 per cent of adults reported discontinuation of their business in 2015-16, among factor-driven and BRICS countries.
According to the World Economic Forum (WEF), countries competing primarily on the use of unskilled labour and natural resources are categorised as factor-driven economies. In such economies, companies compete on the basis of price, as they buy and sell basic products or commodities.
According to the GEM Report, Burkina, Faso, Cameron, Senegal, India, Iran, Kazakhstan and the Russian Federation are among the factor-driven economies, while Brazil and China are part of the efficiency-driven economies.