What are the challenges before small scale industries?
Robert Harper 
Small business enterprises face large number of problems in spite of their growth and development in India.
- Some of them are discussed below:
- Shortage of Funds:
- Lack of Latest Technology:
- Shortage of Raw Materials:
- Shortage of Power:
- Labour Problem:
- Marketing Problem:
- Managerial Skills:
What are the problems faced by SME?
However, in spite of its contribution to the socio-economic growth of India, SMEs face a number of challenges: Lack of capital due to inadequate access to finance and credit. Inability to attract talented and tech-savvy manpower. Poor infrastructure and utilities resulting in low production capacity.
What are the problems of small scale industries?
Some of the problems of small scale industries are:- 1. Problems of Finance 2. Problem of Raw Materials 3. Problems of Marketing 4. Dealing with Government Agencies 5. Export Difficulties 6. Inefficient Labour 7. Defective System of Supply of Raw Materials 8. Absence of Credit Facility 9. Lack of Machinery and Equipment 10.
How to help small scale industries in India?
The small scale industrial units should be encouraged to replace their outmoded equipment with that incorporating an up-to-date technology, and facilities and incentives should be provided wherever required. Up-dating the methods and techniques of production of quality goods conforming to standards.
Why are small scale industries not able to penetrate foreign markets?
Small Scale Industries are not able to penetrate foreign markets because of their poor quality and lack of cost competitiveness. In countries like Taiwan, Japan etc. products produced by Small Scale Industries are exported to many foreign countries.
What is the institutional structure of small scale industries?
The elaborate institutional structure consisting of the State Directorate of Industries, the Small Industries Service Institutes and the Small Scale Industries Development Corporation provide technical assistance to the SSIs. The SISI also arrange for training programmes for entrepreneurs, managers and workers.
