Would be interested in hearing from you about how startup failure is viewed in India. I think we all assume it's a badge of honor these days, but not so much everywhere. As far as this group goes, it's a badge of honor if you learned something that is going to help you avoid the same mistakes next time.
How you communicate this to a hiring company really depends on the context. If you are interviewing at a large firm then they probably care more about your skills and whether you're likely to quit and start another company. If it's a small company then it's critical to focus on what you learned *especially* if you can identify a potential weakness that the interviewing company has and let them infer that without you they'll make the same mistakes. That is, they get all the value of your efforts in your failed startup with none of the risk!
Whether you assume responsibility for failure is another issue. When I interview someone, I want them to be responsible for as many of the actions and results as possible. When they say "oh, it's a poor economy" or "too many competitors" or anything like that, I just shut down. That basically says you're a passenger and that when my company runs into challenges, you'll just look to others for leadership. If you're interviewing at a small company, take as much responsibility as possible - maybe even more than you should - and describe the lessons learned. They will always assume that you won't make the same mistake twice and value the fact that you made decisions as a leader.
Final point is that in the aftermath of a failure, it's often to know exactly what went wrong. Lots of small-ish things, but those are generally just symptoms. To the extent that you can point to as a single, systematic and perhaps non-obvious underlying factor, then you make it easier for the interviewing company to understand and hire you. If you make them piece together several elements of the story then it gets fuzzy as soon as your interview is over. You're selling yourself, so make it easy to buy... and remember that your failure is not a bug, it's a feature.