October - December 2019 ISSN: 2250-1940 (P), 2349-1647(O)
Research Explorer Volume VII, Issue 25 5
Available online @ www.iaraindia.com
RESEARCH EXPLORER-A Blind Review & Refereed Quarterly International Journal
ISSN: 2250-1940 (P) 2349-1647 (O)
Impact Factor: 3.655 (CIF), 2.78 (IRJIF), 2.77 (NAAS)
Volume VII, Issue 25
October – December 2019
Formally UGC Approved Journal (63185), © Author
CASE STUDY ON POLICY M EASURES FOR M SM E IN INDIA (M icro,
Small and M edium Enterprises)
Dr. Nalla Bala Kalyan
Associate Professor
Department of Management Studies
Sri Venkateswara College of Engineering
Karakambadi Road, Tirupati-517507
Dr. N. Naveen Kumar
Department of Computer Applications
Madanapalle Institute of Technology & Science
Angallu (Village), Madanapalle-517325
Chittoor District, Andhra Pradesh, India
Abstract
The Micro, Small and Medium Enterprises (MSMEs) are fittingly regarded as the
vertebrae of the Indian economy. The current critique deals with micro, small and medium
enterprises policy initiatives in the Indian circumstance. Worldwide, the Micro Small and
Medium Enterprises (MSMEs) have been conventional as the engine of economic enlargement
and for promoting equitable development. The major advantage of the sector is its employment
potential at low capital cost. The labour intensity of the MSME sector is much higher than that
of the large enterprises. In India too, the MSMEs play a pivotal role in the overall industrial
economy of the country. In recent years the MSME sector has consistently registered higher
growth rate compared to the overall industrial sector. The Government of India has undertaken
several initiatives and instituted policy measures to foster a culture of innovation and
entrepreneurship in the country. Government announces various schemes and benefits for
promoting the entrepreneurship in India.
Key words: Development, India, MSME (Micro, Small and Medium Enterprises), Policy,
Schemes
Introduction
The Micro, Small and Medium
Enterprises (MSME) sector has emerged
as a highly vibrant and dynamic sector of
the Indian economy over the last five
decades. It contributes significantly in the
economic and social development of the
country by fostering entrepreneurship and
generating largest employment
opportunities at comparatively lower
capital cost, next only to agriculture.
MSMEs are complementary to large
industries as ancillary units and this sector
contributes significantly in the inclusive
industrial development of the country. The
MSMEs are widening their domain across
sectors of the economy, producing diverse
range of products and services to meet
demands of domestic as well as global
markets.
1.1 Role of MSMEs in Indian Economy