Performance and Prospects of Small Scale Enterprises in India-A Macro Economic Study

It is very clear that the small scale sector plays a pivotal role in the Indian economy in terms of employment, output and exports. The growth in this sector has resulted into wider dispersal of industrial and economic activities and ensures better use of local resources. The small sector covers a wide spectrum of industries and small scale services and business enterprises and thus is referred to as small scale Enterprises (SSEs). SSEs include modern small scale industries (SSIs), tiny enterprises, small scale service enterprises and village and cottage industries. Modern SSEs are capitalintensive and involves high-tech in the production. These are generally concentrated in the urban areas and may procure raw materials from distant places and produce sophisticated goods that are sold both in national and international markets. These industries produce sophisticated goods. The overall objective of the study is to examine the performance and prospects of small scale Enterprises in India. The specific objectives of the study are to examine the role of Small scale Enterprises, to examine the progress of small scale Enterprises in India, to examine the problems of public sector enterprises in India, to examine the Government intiatives to reduce the problems of Small Scale Enterprises, to examine the opportunities and performance of small scale enterprises in India, to examine the employment generation by small scale enterprises,to examine the investment of Small scale enterprises,Top 10 states in terms of number of MSME establishment, to examine the exports of Small Scale Enterprises in India,to examine the challenges faced by Small Scale Units. SSEs enjoy inherent advantages over their larger counterparts in terms of generation of employment opportunities, equality of income and wealth and greater export potential. The globalize economy has ushered in greater accessibility to the market, need of greater linkage of SSEs with larger companies and improved manufacturing techniques. The measure adopted by Government have been attempted to alleviate the problems of SSEs. The recent initiatives have changed the outlook of business from protection to liberalization. It has created a sense of competition amongst SSEs which has helped a lot to enhance efficieny , productivity,competitiveness, profitability of Small Scale Enterprises. SSEs enjoy inherent advantages over their larger counterparts in terms of generation of employment opportunities, equality of income and wealth and greater export potential. The globalize economy has ushered in greater accessibility to the market, need of greater linkage of SSEs with larger companies and improved manufacturing techniques. The measure adopted by Government have been attempted to alleviate the problems of SSEs. The recent initiatives have changed the outlook of business from protection to liberalization. It has created a sense of competition amongst SSEs which has helped a lot to enhance efficieny , productivity,competitiveness, profitability of Small Scale Enterprises.