Professional Documents
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Balasubramaniam
Group Members
Name
Amey Londhe
Roll No
87
Pratima Patil
Supriya Pawar Shirish Salian Sanjay Vanjari
98
100 108 115
DEFINITION OF SME
SME is the abbreviation for Small and Medium Enterprises. These enterprises can be rightly called as the backbone of the GDP of India. The SME sector in India is growing at an exceptionally fast rate due to which it is proving to be beneficial to the Indian Economy.
Manufacturing Sector
Service Sector
Enterprises
Small Enterprises
Investment in equipments
More than ten lakh rupees but does not exceed two crore rupees More than two crore rupees but does not exceed five core rupees
Medium Enterprises
Textiles and Paper Service industries Automotive components Food and beverages IT Tobacco and Wood/Furniture Pharmaceuticals Electronics Agriculture ET and others
Promotes exports
35%
INDUSTRIAL EXPORT
40%
TOTAL OUTPUT OF INDIA
60 MN
EMPLOYMENT GENERATED
1.3 MN
JOB PER YEAR
8000
QUALITY PRODUCT GENERATED BY THEM FOR INDIAN AND INTERNATIONAL MARKET
90%
INDUSTRIAL UNIT IN INDIA
Technological growth is also a factor for growth of SME's in India as there are several trade portals and BUISNESSESS DIRECTORIES available online with huge database of buyers, sellers, manufacturers who are basically back bone of SME's.
Financial planning
Ineffective marketing
Infrastructure problem
Though its contribution in Indian Economy o 45% of Industrial output o 40% of Export o 42 million in employment generation o More than 8000 quality products for national and international trade
Conclusion: What should India adopt from this two country SMEs industry?
1. Increase utilization of installed capacity
2. Increase information, orientation and facilities 3. Specialized training for administrative, local, national and world market, research and development, innovation and education 4. Improve - Management - Accounting - Consulting and supporting services - Primary and industrial education level 5. Improve quality of input output by using more innovative and economic tools in all the level
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6. Create awareness about global trade laws 7. Subsidies import and export policy of SMEs 8. Increase the coverage of technology and up gradation fund (TUF) 9. Government should reserve rural market for SMEs and protect them from competition by big industrial houses 10. Facilitate by credit instruments support and lowering down rates for start ups and at the time of economic crises.