Micro, Small & Medium Enterprises (MSMEs) Finance – Profitable Business for Banks: Its Ways & Drivers
Journal Title: International Journal of Physical and Social Sciences (IJPSS) - Year 2011, Vol 1, Issue 1
Abstract
The Indian industrial economy is characterized by a dynamic and versatile set of enterprise actors, who are prestigiously known as Micro, Small and Medium enterprises (MSMEs) for their scale of operations. This category has been leading a typical competitive advantage to Indian industry in terms of controlling sufficient markets globally. It is because of their ability to make available low-volume customized products, flexible response and lower fixed overhead costs. The other unique behavior of these MSMEs is that in most of the cases depending upon their specialization, they have evolved as clusters. The importance of MSMEs as compared to Corporate Enterprises with regard to their contribution towards Indian economy can be best understood that they contribute 8% in Gross Domestic Product (GDP), 45% of manufactured output, 40% of exports, manufacture over 6000 products and provide employment to around 60 million person through 26 million enterprises as per quick estimates of 4th all India census of MSMEs completed during 2009-101. MSE sector has maintained a higher growth rate of Index of Industrial Production (IIP) in two digit figure at 12.60% & 13.00% in 2007 & 20082 respectively vis-à-vis overall industrial growth of the sector at 11.5% & 8% in 2007 & 2008 respectively. Recognizing the significant contribution of this sector in economic growth and also in employment generation in our country, erstwhile definition of „Small Scale Industries‟ has been revised with inclusion of services & trading activities in the ambit of MSME by enactment of Micro, Small & Medium Enterprises Development (MSMED) Act from 2nd October 2006. Also the Act recognizes the term „Enterprises‟ instead of „Industry‟ to include service in MSME segment.
Authors and Affiliations
Dr. Ram Jass Yadav
Keywords
Related Articles
- EP ID EP41496
- DOI -
- Views 467
- Downloads 1
A study on Role of Literacy on dietary pattern among pregnant women in rural areas of Aligarh, U.P.
Objectives: A survey based study on rural areas of Aligarh District, Uttar Pradesh (U.P.) India was conducted to assess the role of literacy on dietary practices among pregnant women, and misconception regarding dietar...
Constraints faced by Tribal Entrepreneurs in Dairy Farming Enterprise
Dairy farming is one of the important enterprises which dominate the economic activities of the tribal people in the rural areas of Odisha in India. Increasing demand for milk and milk products in recent years intensif...
MATHEMATICS EDUCATION AND USE OF MATHEMATICAL LANGUAGE IN ENHANCING UNDERSTANDING OF MATHEMATICS IN SECONDARY SCHOOLS
There are many factors attributed to the poor performance of mathematics at high school level, for example, students‟ attitude to mathematics, low cognitive abilities, poor teacher- student relationships, poor study en...
AN EMPIRICAL STUDY ON CHILD LABOUR IN UNORGANISED SECTOR IN KURNOOL CITY
It is evident from the review of literature that there are some studies on child labour both in rural and urban areas. Some studies are concentrated on working conditions while some on problems of child labour. Few oth...
NEED FOR ENTREPRENEURSHIP EDUCATION IN SCHOOL STUDENTS
If entrepreneurship education is isolated in a single course, apart from the whole curriculum, it may be missed by many students who then would not profit from their potential development as enterprising individuals. P...