I. INTRODUCTION:

It is evidently found that in the 21^st century the industrialization has far reaching impacts than ever before on Indian society. Since independence Indian government has been making extensive efforts to industrialize the India. However, it is lacking in many streams. Privatization of industrial sector hadn’t taken place equally among various groups in the stratified society.

Evidently, the majority of the backward classes lagged behind in the race towards industrialization. Surprisingly Indian government realizing the hard reality of the present situation and started several programs like Entrepreneurial Schemes of NBCFDC to encourage people belonging to backward classes to attain the entrepreneurial success. The issue of backward class assumes greater significance in the discipline of Political Science. There have been many political scientists who have been arguing that the only solution for the problems of backward class is through implementation of political policies (Thimmaiah G, "Power, Politics and Social Justice, Backward Castes in Karnataka". New Delhi, Sage Publications, 1993, pp. 146-147.)

Prior to 1991, achievement of Indian business was a component of aspiration, licenses, government contacts, and a comprehension of the bureaucratic framework. Choices depended on associations, as opposed to the market or rivalry. Business objectives mirrored a continuation of the 'Swadeshi' development, which elevated import substitution to accomplish monetary opportunity from the West. Pre-1991 arrangements were internal looking and outfitted towards the fulfillment of confidence. Amid this period, business enterprise was stifled, capital was restricted and India had not very many examples of overcoming adversity. Too, society was hazard loath and the individual searched basically for business dependability²⁽Kuppuswamy B. Backward Class Movement in Karnataka, Bangalore, Bangalore University, 1978).

The Govt. of India in 1991 changed the economy, therefore changing the focused scene. Privately-run companies, which ruled Indian markets, presently confronted challenge from multinationals that had prevalent innovation, budgetary quality and more profound administrative assets. In this way, Indian organizations needed to change their concentration and re-arrange their viewpoint outward. A couple of existing Indian business families adjusted to the new monetary arrangement while others battled. Significantly, another type of business was conceived, one that concentrated on ICT (Information and Communication Technology) and made riches for proprietors and workers.

The conditions of India has prior did not energize business enterprise much. Individuals were customary in standpoint and set wellbeing and security over all things. An administration work was considered very, sheltered and esteemed. The greater part of them were home-wiped out and were not willing to move out or go out on a limb. As dominant part was of low and medium-class families with not a lot to bank upon at first or in unfavorable conditions, the circumstance could be very much envisioned³ (Bhanushali, S.G. (1987) Entrepreneurship Development (An interdisciplinary approach), Himalaya Publishing House, Bombay, pp., 225-241.)

However, In Indian context particularly backward class people had not dared to become entrepreneur in large numbers due to various reasons. Hence, even today the numbers of entrepreneurs belonging to backward class are very less and they face huge problems. Hence in this background the present study has been placed to analyse the socio-economic conditions of backward classes in Karnataka state.

II. BACKGROUND FOR THE STUDY:

The problems of Backward Class is the biggest complication not only in Karnataka but also in India. Before going in further, we must know what is Backward class and how did it form?.

Other Backward Class (OBC) is an aggregate term utilized by the Government of India to order ranks which are instructively or socially burdened. The OBCs were found to include 52% of the nation's populace by the Mandal Commission report of 1980, a figure which had contracted to 41% by 2006 when the National Sample Survey Organization occurred.

In Backward class has its root in the antiquated Indian social framework. The old Indian social frameworks separate the general public into four classes to be specific the Brahmin, the Kshatriya (warrior class) the Vaishya and the Shudra (serving class) notwithstanding this fifth class known as Atishudras, who were untouchable existed in antiquated India⁴ (Lokhande, M. A (2006): “Entrepreneurship Development among Scheduled Castes and Scheduled Tribes in Marathwada Region”, the Indian Journal of Commerce vol. 59, No.1, January-March 2006.)

A similar framework was pursued till India was attacked by the Britishers establishing the British India. The framework got the primary compromising as Dr. Rajendra Prasad has appropriately watched it. He was vigorous of British India’s idea of principle of law. Their experimental intrigue and crafted by Christianity ministers carried into contract with another universe of thoughts and considerations. The western effect and the industrialist method of generation presented in the nation opened new regions of settlement, modification and openings. Before the word 'in reverse classes' utilized for the down trodden classes who were commonly originating from the shudra class of antiquated India was alluded to as 'discouraged class'.

Nonetheless, nowhere the terms backward class has been defined. The term backward class speaks about the general public in reverse strata alluded by the constitution. The Govt. of India and state Government for the monetary advancement of the retrogressive class directly from first plans on wards executed the most imperative of the destitution easing programs in the light of the national financial strategy of development with equity, different improvement programs. The serious issue of in reverse class is neediness overly forced by social separation. The improvement in the states of the regressive classes relies upon their entrance to arrive, wages, training and nonfarm business and resulting improvement in the utilization levels.

The welfare of in backward class has been allocated to the state list. Consequently, the obligation in regards to the welfare and improvement of the retrogressive classes through different sectorial projects and ventures rests with states. The focal point of the service of social equity and strengthening amid the most recent two years has been evaluating through basic survey the effect of plans and projects to improve their conveyance and results.

An endeavor has been made at distribution of assets by uniting comparable plans for various sections for ideal use of supporting foundation. In the Constitution of India, OBCs are depicted as "socially and education wise backward classes", and the Government of India is charged to guarantee their social and instructive advancement — for instance, the OBCs are qualified for 27% reservations in open part business and advanced education. The rundown of OBCs kept up by the Indian Ministry of Social Justice and Empowerment is dynamic, with ranks and networks being included or evacuated depending social, instructive and financial components.

Further, National Backward Classes Finance and Development Corporation (NBCFDC) is a Govt. of India Undertaking under the aegis of Ministry of Social Justice and Empowerment. NBCFDC was fused under Section 25 of the Companies Act 1956 on thirteenth January 1992 as a Company not for benefit with a target to advance monetary and formative exercises to support Backward Classes and to help the more unfortunate area of these classes in ability improvement and independent work adventures. NBCFDC gives money related help through State Channelizing Agencies (SCAs) designated by the State Governments/UTs. NBCFDC additionally gives Micro Financing through SCAs/Self Help Groups (SHGs). The Corporation can help a wide scope of pay producing exercises to help the less fortunate segment of these classes in ability improvement and independent work adventures

III. OBJECTIVES OF THE STUDY:

· To understand the problems of Backward class identified in the backward class commissions.

· To analyse political dimensions of the socio-economic conditions of entrepreneurs belonging to Backward Classes in Karnataka State.

IV. METHODOLOGY OF THE STUDY:

To fulfill the above stated objectives the researcher has obtained primary data from 100 sample of respondents from various cities of Karnataka state. Method of Questionnaire had been employed to gather required primary data. Secondary data has also been collected to review the existing literature.

V. RESULTS AND DISCUSSION:

Problems of Backward Classes Mentioned in the Commissions:

Starting with the Miller Committee itself, the term Backward classes has Proved to be confounded to appreciate and subtle to recognize. Each, Committee appears to have its very own perspective on Backwardness and in this manner any understudy diving deep into the investigation of these Committees and Commissions will in general be completely confounded. Be that as it may, the issue will be clear whether the proposals of each Commission, are examined and are seen in individual point of view as opposed to blending the viewpoints.

The Naganagouda Committee (1961) considered, certain criteria for distinguishing the Backwardness of the gathering. Instructive Backwardness-The Committee saw that secondary school understudy statistics (1959-60) demonstrated that there is a cozy connection between High school enrolment figures and figures with respect to arrangement in Government Services. The second foundation of Backwardness was considered based on portrayal in Government Service. The third criterion of Backwardness is social backwardness.

Havanur Commission (1975), after a thorough and comprehensive investigation, laid emphasis on caste based 'Backwardness' tag.

The Venkataswamy Commission (1986) was the second Backward Classes Commission named by Government of Karnataka. It gathered voluminous information from everywhere throughout the state. The Commission recognized 55 standings alongside their synonymous.

Chinnappa Reddy Commission (1990) After the dismissal of the report of the Venkataswamy Commission, the Janata Party Government headed by Chief Minister Ramakrishna Hegde chose to name a New Commission. The suggestion of this Commission, likewise raised a tempest of discussion and contradiction.

Table 1. Demographic Profile:

Variables		Frequency	Percentage
Age	Less than 25	15	15
	25-35	30	30
	35-45	21	21
	45-55	27	27
	Above	7	7
Gender	Male	67	67
Gender	Female	33	33
Marital Status	Married	54	54
Marital Status	Unmarried	46	46
Education	Not Attended	10	10
	Primary	13	13
	Secondary	11	11
	Higher Secondary	21	21
	Graduation	18	18
	Post-Graduation	15	15
	Technical	12	12

The following general problems of backward class have been identified by the above commissions.

Social Problems: The concept of purity and pollution the untouchables were given a very low position in the society. High castes maintained social distance from them.

Economic Problems: Backward class people were deprived of land property of their own.

Table 2. Problems of Backward Class Entrepreneurs in Karnataka State

Problems	Strongly Agree (No & %)	Agree (No & %)	Neutral (No & %)	Disagree (No & %)	Strongly Disagree (No & %)
Lack of Loan Financing System	64	17	6	11	2
Lack of existence of venture capital	41	39	13	7	0
Lack of access to raw materials	59	28	6	5	2
Lack of market	35	42	20	3	0
Outside Competition	48	22	25	1	4
Lack of skilled labour	31	67	2	0	0
Lack of required space	71	15	2	5	7
Lack of training programs	21	35	15	20	9

Education Problems: They were not allowed to use public educational institutions. Hence, social, economic and educational criterias were mainly used by these commissions to identify backward classes.

Analysis of Primary Data:

In this study an attempt is made to anlayse the demographic aspects of the entrepreneurs belonging to backward classes in Karnataka. Out of 100 respondents it was found that 30 percent of the respondents were belonging to the age group of 25-35.

This indicates the younger entrepreneur’s participation in the economy. Further, respondents belonging to the age group of 45-55 also are being found in the study. Only 7 percent of the respondents in this study belong to the age group of above 55 years of age.

As the table indicates that 67 percentage of respondents are male and 33 percent are female. In this study it was found that 54 percent of the respondents were married and 46 percent of the respondents were unmarried. This clearly indicates of the higher participation of the married people being entrepreneurs among the backward classes.

It is interesting note the educational status of the respondents in this study. The majority of the respondents (21%) had attended higher secondary schooling. Secondly, 18% of the people had obtained graduation degree. Hence there is a co-relation between attainment of education and becoming entrepreneur among backward classes. Hence, education provides a stepping tool for the downtrodden people.

As the above table indicates that 64% of the respondents faced the problem of Lack of Loan Financing System. This discourages youngsters becoming entrepreneurs. Hence, the majority of the respondents in this study clearly state that everything is not right with the financing system in India which caters financial needs of Backward Classes in India.

Venture capital is a sort of private equity, a type of financing that is given by firms or assets to little, beginning time, rising firms that are regarded to have high development potential. Funding is likewise a manner by which the private and open areas can build a foundation that deliberately makes business systems for the new firms and enterprises, with the goal that they can advance and create. This organization distinguishes promising new firms and furnish them with fund, specialized aptitude, tutoring, advertising "know-how", and plans of action. In this study an attempt has been made to understand the state of venture capital for the Backward class entrepreneurs. Majority of the respondents of this study (41%) strongly agree that there is a lack of existence of venture capital in Karnataka state for the backward class.

59% of the total respondents indicated that there is a lack of access for obtaining raw materials which negatively impacts on backward classes entrepreneurs. 42% of the people agree that there is a lack of markets wherein such entrepreneurs find it hard to sell their products.

67% of respondents depicted that they find it hard to get very skilled laborers whom they want to employ to enrich their business.

VI. CONCLUDING REMARK:

The new reformable policies must be brought down in the assembly to strengthen the financial system which caters the needs of the backward class in India. Backward class business people do not have any business foundation. So as to upgrade mindfulness about business exercises and enterprise, it is proposed that extraordinary business mindfulness program ought to be begun to initiate adolescents from such classes to choose business enterprise as profession.

VII. REFERENCES:

1. Ashwini Deshpande, (2014) How Backward are the Other Backward Classes? Changing Contours of Caste Disadvantage in India. CDE.

2. Bhanushali, S.G. (1987) Entrepreneurship Development (An interdisciplinary approach), Himalaya Publishing House, Bombay.

3. Kuppuswamy B. (1978), Backward Class Movement in Karnataka, Bangalore, Bangalore University.

4. Lokhande, M. A (2006): “Entrepreneurship Development among Scheduled Castes and Scheduled Tribes in Marathwada Region”, the Indian Journal of Commerce vol. 59.

5. Sampa Barman (2015) Reservation Policy For Backward Classes In Education In The Context Of Modern Indian History. Vol.2.Issue.3

6. Thimmaiah G, (1993), "Power, Politics and Social Justice, Backward Castes in Karnataka". New Delhi, Sage Publications.

Received on 19.11.2019 Modified on 11.12.2019

Res. J. Humanities and Social Sciences. 2020; 11(1):87-90.

DOI: 10.5958/2321-5828.2020.00015.7