Title: Problems and prospects of Indian MSMEs: a literature review

Authors: Davinder Singh; J.S. Khamba; Tarun Nanda

Addresses: Mechanical Engineering Department, Punjabi University, Patiala, India ' Mechanical Engineering Department, Punjabi University, Patiala, India ' Mechanical Engineering Department, Thapar University, Patiala, India

Abstract: MSMEs have been playing an important role in overall economic development of a country like India where millions of people are underemployed or even unemployed. This sector solves many problems viz. poverty and unemployment through providing immediate and large-scale employment, with lower investments and proves to be a second largest manpower employer, after agriculture. Small-scale industry is one of the major planks of India's economic development strategies since Independence. With the advent of planned economy since 1951 and the subsequent industrial policy followed by Government of India, both government and planners earmarked a special role for this industry in the Indian economy. India, being one of the fastest growing economies of the world, needs to pay an honest attention for the utmost growth of MSMEs for its increased contribution in above areas. The present study investigates the literature to identify major problems faced by MSMEs in the competitive environment. It also focuses on the factors contributing towards enhanced manufacturing performance of Indian MSMEs.

Keywords: problems; technology innovation initiatives; micro, small and medium enterprises; MSMEs; manufacturing performance; India.

DOI: 10.1504/IJBEX.2018.091923

International Journal of Business Excellence, 2018 Vol.15 No.2, pp.129 - 188

Received: 28 Nov 2016
Accepted: 27 Apr 2017
Published online: 21 May 2018 *

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