Summary

Role of small business in India — Small-scale industries play a very important part in the socio-economic development of the country. They account for about 95% of industrial units, contribute up to 40% of gross industrial value added and about 45% of total exports, and are the second largest employers after agriculture. They produce a wide variety of products, support balanced regional development by using locally available material and indigenous technology, offer ample scope for entrepreneurship, enjoy a low cost of production and quick decision-making, and adapt well to customised production.

Role of small business in rural India — Small business units provide a multiple source of income across a wide range of non-agricultural activities and generate employment in rural areas, especially for traditional artisans and weaker sections of society. …