Chapter 8 - GenZ’s Inclination toward Startups

GenZ’s Inclination toward Startups

It’s not hidden that Generation Z, commonly known as GenZ, is known for its ability to learn quickly, innovation, and open minds. Young graduates are no longer doting on working in MNCs and conservative work environments. Their free working style and desire to be the change is increasing the popularity of startup culture among them.
You must have heard about Startups if you are connected to the corporate world and as much as Startup culture is popular among students today, one always has doubts about it.
Hence, for this month’s blog, we would cover the factors which are piquing the interest of startups among fresh graduates and everything else one needs to know about it. Let’s dive into the blog!

Start-up Culture in India:

In the last few years, terms like start-ups, unicorns, FMA, etc. have been the talk of the town, especially after reality shows like The Shark Tank, India. A start-up is a venture that aims to address and answer real-life problems that either have never been answered or to provide a better solution to the existing ones. Indians have seen start-ups become unicorns as well as few preparing for the exit strategy.
Apart from the highs and lows in the journey, start-up culture in India values creativity, skills, dedication, horizontal hierarchy, and open communication more than just a degree. However, to understand why GenZ is inclined towards startups, knowing about the evolving attitude towards work/career and its perks are important.

Evolving attitude towards Career and Work:

When it comes to certain values, attitudes, and expectations, the attitude of the GenZ is evolving towards Careers and Work. Here are a few major ways in which the GenZ workers are changing their attitude:
  • Their expectations are values-driven and aligned with their morals: A major way in which the attitude of GenZ is evolving towards startups distinguishing their preferences from those of other generations is with a very values-driven approach to their career and job prospects. The youth is inclined towards startups as they feel that the values of their workplace are aligned with their morals.
  • Diversity, equity, and inclusion are highly valued by Gen-Z workers: Diversity, equity, and inclusion are increasingly relevant in the world of work, and these issues are particularly important to members of Gen-Z. They are more inclined towards applying for a job at a company that emphasizes a racially and ethnically diverse workplace in recruitment materials. Members of Gen-Z also expect frank and respectful conversations around gender identity.
  • Gen-Z values economic security, communication, and transparency: Despite earning a reputation for being unmotivated or impractical by older generations, many in Gen-Z are certainly willing to work hard for the financial security that they desire. But it isn’t just money that Gen-Z workers seem to value; indeed they also have high expectations for proactive communication, strong connections, and transparency in their place of work. They want clear expectations, evaluations, and communications from the company they are working for.

Why is the youth inclined towards startups?

The Economic Times report says that top Indian companies have lost almost 40% of their most talented people to startups. The attention drawn towards startups these days is due to the following factors:
  • Every employee is being valued
    Working in a startup entails being an integral part of a small team. As there are fewer employees at a company, each person's contribution is valued. This helps a lot in the personal growth of an individual.
  • Comfortable working environment
    In a startup company, teams are tight-knit, and even the founders are involved in every work. Since one can always walk up to the higher authorities and have a one-on-one talk, the thrill of working with somebody you enjoy will make fixing problems easier.
  • A plethora of opportunities
    In a corporate career, one is confined to his or her particular duty and has less opportunities to explore other disciplines. It's well-organised, but can also be boring. On the other hand, startups give chances to try new things. The incentives and acquisition of new abilities make it worth working in these organisations.
  • Unique Experience
    Unlike typical 9-5, employees of startups often get to enjoy a unique experience that isn't available elsewhere. For example, some startups offer nap pods or a nap room where employees can take a quick nap at work, while other startups may provide daily catered lunches to employees.

Challenges of startup life

While there are several advantages to working for a startup, there are also some drawbacks to consider when deciding whether or not this is the appropriate career route for you. The following are some of the disadvantages of working for a startup:
  • Risk
    Working for a startup is riskier. This is due to the fact that startups are more likely to fail in their early stages. We've all heard of successful startups, and it's great to work for a firm with such potential. However, it's critical to maintain a sense of realism in this situation.
  • Constant change
    In a startup, change is very often present. The titles, duties, and tasks of startup employees are always shifting, from going in a whole different route on a project to altering staff roles with minimal warning. For professionals who seek a more regular and predictable work life, this can be a drawback.
  • Less Pay
    Many startups are unable to pay their staff what they are truly worth until the company experiences considerable growth and income. As a result, working for a startup frequently means earning less money than working for a larger corporation.
  • Career Paths
    Another disadvantage of working for a startup is that your career path may be less evident. Because there are fewer levels between entry-level positions, senior positions, and management. Beyond your current position, there isn't necessarily a clear next step.
  • Too much freedom
    While adequate freedom is incredible or even favored via the means of a few professionals, an excessive amount of freedom may be a downside for others. Startups regularly offer vast freedom to their personnel and anticipate them to thrive under those conditions. However, if you would opt to focus on the best ability or task, the quantity of freedom supplied via the means of a startup might not be a good match for you.

With the startup culture flourishing in India, more and more GenZ workers are willing to work for them as they feel their efforts are being noticed and the scope of growing unlike the monotonous working environment of corporations. Startups are great opportunities for young graduates to learn from experienced leaders, get an inside lens into the hustle of building a winning company from the very scratch, and acquire the necessary grooming for them to become the leaders of promising young startups of their tomorrow. If you can hustle 24*7, the stage is all yours.