Linkages Between Small and Large Scale Industries: Some Evidences from Gujarat

Co-existence of various scales of production is an important feature of the process of industrialization. The growth experience of developed market economies reveals that small and tiny units have always been active partners in the process of industrial development and that in-spite of the rapid growth of the large scale sector, small industry by no means disappears, rather, it invariably grows along with the large scale production. As industrialization proceeds there is a transformation of spheres between small and large scale production and of the functional relationship between them.