From Craft Heritage to Sustainable Enterprise: A Conceptual Framework for the Economic Prospects of Handicraft Artisan Entrepreneurs in Rajasthan

Abstract

Handicrafts is one such sector in India which is an important bridge between the culture of the country, rural economy, entrepreneurship and sustainable development of the economy. Rajasthan has many different crafts and the artisans are spread across various areas and hence it has huge potential to transform handicrafts to sustainable micro-enterprise. The process of making traditional craft activities more profitable in terms of entrepreneurship, however, is still limited by the interaction of various market, financial, personal, production, technological and institutional problems. A conceptual paper that synthesizes the literature on artisan livelihoods, agency of the entrepreneur, market development, digitalization, finance, production systems and institutions and sustainable economic interests of the artisan entrepreneur in Rajasthan. The paper conceptualises economic prospects as an outcome of economic activities, which goes beyond income to encompass livelihood stability, decision making power, social status, self-esteem, self-confidence, bargaining power and less reliance on intermediaries. The review indicates that limited market access, poor branding and pricing skills, low digital adoption, financial exclusion, financial constraints on working-capital, susceptibility to exploitation, problems with raw materials, poor infrastructure, and technological limitations are not independent, but are interdependent. Institutional support, collective enterprise mechanisms, craft skills, education, and digital skills can empower artisans to find sustainable entrepreneurial solutions to their traditional skills. The synthesis has suggested an integrated conceptual framework which connects market and digital skills, financial access, entrepreneurial autonomy and productive and institutional resources with the economic opportunities of artisan entrepreneurs. The paper has a positive contribution to the literature on artisan-entrepreneurship by shifting focus from individual problem of the handicraft sector to an integrated ecosystem approach which will enable future empirical studies in the diverse handicraft clusters of Rajasthan.