CHAPTER 1
INTRODUCTION
The project aims to know the possibility of entrepreneurship in starting pre/primary schools in Pune with good return on investment. The nurseries to be set up should be started keeping in mind its demand and the basic factors which are contributing to their demand. With this study we tried to understand the growing need for such entrepreneurial opportunities. Entrepreneurship in set up of pre nurseries is in demand because of increase in level of educated parents and income levels, who also expect their children to learn and progress right from the beginning. Entrepreneurship not only involves starting a business but also to nurture it till it grows and start giving the fruits. Study on entrepreneurial opportunity in primary education sector also includes profitability of starting a pre-school and the growth opportunities it provides.
OBJECTIVE:
1. To determine the feasibility and profitability of entrepreneurial opportunities in pre/primary education sector in Pune.

2. To study the factors surrounding the set-up of Pre-nursery and also to provide a template to an entrepreneur to start any business.
SCOPE OF THE STUDY: 1. Study is limited to only PUNE city. 2. Study has been conducted in specific locations within the city. These locations are: a) Wanorie (Panda Kids) b) Magarpatta city (Euro kids, Zee Kids) c) Koregaon Park (Innovations)
3. Target respondents are limited to: a) Parents of the students studying in the schools as mentioned b) Teachers and staff of the respective schools c) Franchise owners of the respective schools

Chapter 2
Review of Literature 1. Small and Medium Enterprise Development Authority (Government Of Pakistan:
A study conducted by Small and Medium Enterprise development authority of Pakistan in Sept 2006 concluded that Montessori school education is the first formal learning stage for a child. A child learns to recognize different alphabets, words, sounds and characteristics. It teaches children to behave in groups, helping them learn socialization at an early stage. The growing population has exhausted the limited capacity of the existing private as well as public primary school systems. The growing population has put tremendous pressure on the existing public sector education infrastructure in the country. Private sector with its investment capacity to provide well equipped and well staffed school system is therefore, well positioned to exploit this opportunity for establishing viable school systems in the country. Total project cost for setting up a Montessori School is estimated at Rs. 2.38million.There are 2 broad positioning strategies available to Montessori school system: * Based on the household income. * Based on the quality/standard of education offered
However the Montessori business is quite profitable as the Internal Rate of return is 87% and the payback period is 3.08years.

2. American Institute for Research:

A study conducted by American Institute for Research in December 2006 analyzed the feasibility of making quality preschool available to all four-year-old children. This study also suggests possible financing options. The primary impetus for expanding and enriching preschool programs is to narrow the achievement gap between children from at-risk backgrounds and their non-disadvantaged peers. A secondary goal is to make quality preschool affordable for low- and moderate-income families, many of whom cannot afford to purchase the quality of preschool found to contribute to child development and school readiness.California recently enacted Assembly Bill 172, which will provide $50 million in the first year to expand State Preschool in API 1-3 School Attendance areas. Of this sum, $45 million is available to support classroom activities at the current State Preschool expenditure rate and $5 million to support family literacy activities. An additional $5 million is available for full-day programs. The study also recommends areas for additional research: * Vacancy rate/available school space * Interest of private providers interested in participating * Assessment of status of existing facilities and Additional public buildings

Chapter 3
Methodology
1. Selection of Topic
The nursery school industry in India seems to be a highly profitable sector with a lot of future growth prospects in the market. Nowadays it is seen that there is a new nursery school opening up in every neighbourhood. Seeing this trend setting in the topic was decided. 2. Sample Size:
The sample size is 30 people, which is further broken down into: * 3 Franchisees of nursery schools * 6 Teachers of nursery schools * 21 Parents of the students studying in nursery schools 3. Pilot Study:
A questionnaire was prepared and a sample of 30 people were selected to study the profitability of the sector and accordingly changes were made to the questionnaire were made 4. Hypothesis:
“Nursery or Pre-Primary business gives a lucrative return on Investment” 5. Data Collection:

A. Primary Data: A sample of the final questionnaire which was used to collect information from the related parties was prepared andis presented on page.... under Chapter 8- Appendix B. Secondary Data: A review of Literature was done. The data was collected from two case studies: * Small and Medium Enterprise Development Authority (Government Of Pakistan) * American Institute for Research 6. Analysis of Data:
The data collected is presented in the form of tables and graphs under Chapter 4 - Results

Chapter 6
Bibliography

1. Government of Pakistan “Small and Medium Enterprise Development Authority of Pakistan”. (2006). “Pre-Feasibility Study of Montessori School”, Edition 2, pg. 4-12

2. Muenchow,Susan.,Anthony,Jennifer.,Lam,Irene and Manship,Karen.(2006). “Pre-School Feasibility Study & Phase-In Plan”,Edition 1,American Institute of Research, pg. 1-12

3. Bartik, Timothy. (2009). “Distributional Effects of Early Childhood Programs and Business Incentives and Their Implications for Policy”, “Preschool and Jobs: Human Development as Economic Development, and Vice Versa”, Working paper no.09-151,Upjohn Institute, pg 4-12 4. Zigler Edward, Yale University, Connecticut, Gilliam Walter S, Child Study Center, Yale School of Medicine, Jones Stephanie M, Yale University, Connecticut. (2006), “A Vision for Universal Preschool Education” Chapter 1-2, Cambridge University Press, London (UK), pg1-45 5. Chiam Heng Keng (1991), “Child development”, Chapter 4,Pelanduk Publications, Darul Ehsan (Malaysia), pg. 20-35 6. Watkins Kathleen P. (Author), Durant Lucius (Author) (1990), “The Complete Book of Forms for Managing the Preschool Program ” Chapter 2-6, Pearson Education Centre for Applied Research in education (CARE), New york (USA), pg 1-247

Chapter 6
Results/Findings of the Study

The results of the study are presented in the form of Tables, Graphs and figures. Part A deals with responses from the Teachers of the Nursery Schools Part B deals with responses from the Parents whose Kids attend Nursery School Part C deals with responses from the Franchise owners of Nursery Schools

PART C: Tables for responses from the Franchise Owners of Nursery Schools

Table 1: Demographics of the Respondents S.NO | INFORMATION | NUMBER | PERCENTAGE | 1. | Location: | | | | a) Wanorie | | | | b) Magarpatta City | | | | c) Koregaon Park | | | | | | |

Discussion:

Table 2: Investment Required (in Rs.lakhs)

S.NO | Investment (in Rs.lakhs) | NUMBER | PERCENTAGE | 1. | a) 4-6 | | | | b) 7-9 | | | | c) 10-12 | | | | | | |

Discussion:

Table 3: Time Taken to Break-even (years) S.NO | Time Taken to Break-Even (years) | NUMBER | PERCENTAGE | 1. | a) 1 | | | | b) 2 | | | | c) 3 | | | | | | |

Discussion

Table 4: Financing Options for Franchisee S.NO | Financing Options for Franchisee | NUMBER | PERCENTAGE | 1. | a) Loans from Commercial Banks | | | | b) Borrowings from Friends and Relatives | | | | c) Owners Equity | | | | | | |

Discussion

Table 5: Strength Of the Franchisee Company S.NO | Strength Of the Franchisee | Average | Good | Strong | 1 | Euro Kids | | | | 2 | Kidzee | | | | 3 | Panda Kids | | | | 4 | Innovations | | | |

Discussions:

Table 6: Initial Operating Costs of the Franchisee(Rs.lakhs) S.NO | Initial Operating Costs of the Franchisee(Rs.lakhs) | NUMBER | PERCENTAGE | 1. | a) 8-9 | | | | b) 10-11 | | | | c) 12-13 | | | | | | |