As India advances toward its 2047 development vision, the persistent underutilization of women’s economic

potential remains a critical challenge. The female workforce participation is significantly lower than that of

adopts a conceptual and policy-oriented approach, drawing on secondary data from government and institutional

evaluates emerging policy frameworks, especially for Kerala’s regulatory initiatives, as scalable models. The

study also explores clustering strategies, digital integration and financial inclusion mechanisms to enhance

enterprise sustainability and market access.

Findings indicate that Hometrepreneurship can effectively transform underutilised household skills such as

culinary practices, handicrafts and care services into viable income-generating activities. The model promotes

flexible operations, community-based clustering, and efficient utilisation of domestic resources, with strong

potential for formalising millions of women-led enterprises.

its ambitious 2047 development vision, a significant challenge emerges. The considerable underutilization of

women's professional potential across the nation represents a major obstacle to achieving these goals. Current

employment data demonstrates that female workforce participation remains at only 32.8%, compared with 77.2%

for males, while urban participation rates decline further to 23.8% (DGE, 2024). This substantial gap not only

highlights persistent systemic inequities but also represents a profound economic inefficiency, with potential

GDP losses reaching hundreds of billions. The available evidence clearly indicates that India is failing to harness

considerable human capital, particularly among its female population.

This research introduces "Hometrepreneurship" as an innovative solution that transforms homes into small

business centers. The concept allows people to turn their traditional knowledge and skills into profitable

businesses. Hometrepreneurship works differently from regular business models because it operates within

handicrafts. Despite having these valuable abilities, women cannot easily turn them into income generating

activities. This happens because various structural barriers prevent women from monetizing their existing

competencies (Yadav & Singh, 2021). The result is that women's economic contributions remain largely

unrecognized and undervalued in formal economic systems.

Contemporary nano enterprise policies lack targeted approaches for home-based operations, particularly those

led by women. Analysis of unincorporated sector data demonstrates that while female proprietorship has grown

to 26.2% in recent assessments, approximately 95.6% remain outside formal recognition systems (NITI Aayog,

2023). This invisibility perpetuates economic marginalization despite demonstrable business acumen

.

Objectives

2. What policy modifications would facilitate formal recognition and support for home-based

enterprises?

3. Which clustering mechanisms could enhance individual enterprise sustainability and market access?

4. What are the measurable impacts on household economics and community development?

Operational Definition

Home-based commercial activities with investments below ₹5 lakh, primarily managed by women,

leveraging household skills and cultural knowledge to produce marketable goods and services across

B2C and B2B segments.

 Primary Income Generation: Full-commitment enterprises serving as household's main revenue

source.

 Supplementary Income Creation: Part time activities complementing existing earnings.

 Seasonal Operations: Agriculture linked activities during specific periods.

 Collective Ventures: Multi household collaborative enterprises.

Kerala's recent regulatory innovation provides a compelling template for national adoption. The state's 2025

licensing rules make it easier for small businesses to operate from home. These rules allow Category 1 enterprises

50% of their home space for commercial activities (Kerala Government, 2025). This forward thinking approach

operations.

domestic enterprises.

business mentorship.

Hometrepreneurship uniquely preserves India's diverse cultural heritage through economic activities. This

approach works in three important ways.

creating economic opportunities. This approach addresses urbanization pressures on traditional

communities by providing local economic alternatives.

 Competency Based Groupings: Food processing centers, textile production hubs and agricultural

value addition zones form the core operational clusters.

 Heritage Focused Clusters: Concentrate on region specific traditional product manufacturing that

maintains geographic authenticity.

enterprises.

These clustering benefits make individual home enterprises more viable and sustainable while preserving

community connections.

India currently has approximately 6.50 crore unincorporated enterprises operating across the country.

Targeted Hometrepreneurship programs could potentially formalize 2 to 3 crore women led operations.

This formalization would substantially advance the 70% female workforce participation target.

Achieving this target is essential for meeting India's 2047 development objectives (PIB, 2024).

Income Augmentation: Household income increases through women's economic activation.

Government of India. Available at: https://labour.gov.in/sites/default/files/pib2074399.pdf (Accessed on