Factors for emergence of a start-up can be broadly classified into four
categories as follows:

1. As means of livelihood. eg cottage industry,  Own Account Enterprises 
2. As a result of policy support or inducement. eg:  MSMEs,  Khadi &village industries etc
3. In response to demand of large firms and market opportunities. eg: ICT industries, R&D, Technology Business Incubators etc
4. As a result of innovative idea based on knowledge and experience. eg:  E-commerce ventures, remote education etc

There are three parallel tracks for startups to emerge:

1. Traditional Manufacturing Industries and services:
   As cottage or household industries or small workshops with hired labour.
2. In modern manufacturing industries and services:
   MSME
3. In technology / knowledge intensive industries:
   eg: Flipkart, oyoroom etc