“SMEs employ close to 40% of India’s workforce, but contribute only 17% to GDP”
Source — The Economics Times
The business landscape is changing with the changing cultural values. The Businesses in India, are segregated into some categories on the basis of their initial investments like Micro/Small/Medium/Large. Today we will be discussing about the backbone of Indian Industry. Just have a look at the fact & figures.
“The country’s 1.3 million SMEs account for 40% of India’s total exports.”
Here we will discuss in detail about the Presence of SME’s in India, Their growth, Challenges, Industry wise contributions & finally their importance.
They have challenges related to Investments, Machinery Upgradation, Credit in the market, Employee Productivity. The reason behind this all is, that they are working in the most unorganized structure model of business. The Government of India is taking good initiatives for the Indian SME’s.
Close to 4,400 technology startups exist in India and the number is expected to reach over 12,000 by 2020. India is also at third place behind US and Britain in terms of the number of startups. Furthermore, in line with its global counterparts, India has its own billion-dollar club to boast about. This includes startups like Flipkart, Snapdeal, Ola, InMobi, Hike, MuSigma, Paytm, Zomato, and Quikr. With the next $100 Mn funding raise, fintech startup MobiKwik too looks to join the unicorn club. Source —– www.inc42.com
India’s Sixth Economic Census National Sample Survey Organization (NSSO), which states 14% of business establishments in India are being run by women entrepreneurs.
Being most unorganized sector SME’s are involved in all small activities, called junk activities because don’t want to delegate the work. This is the high time to accept the fact & the reality so, They just need to value their business & It’s growth, which plays a vital role in the Indian Economy.