Micro, Small, And Medium Enterprise

Micro, small and medium enterprises is a very important sector of the economy, and it contributes immensely to India’s socio-economic expansion. It contributes about 8% of the GDP and 40% of India’s total export. It creates employment in the country and helps develop backward and rural areas of the country. The MSME also helps us categorise the industries based on their total turnover. This will lower the need for frequent inspection of plants and machinery investment. Every operation by the MSME will be supervised by the government of India and hence will be transparent, non-discriminatory, and objective in nature. 

Features of Micro, Small, and Medium Enterprise

1. Micro, Small, and Medium Enterprise support the upgradation of technology, modernisation of the sector as a whole, and infrastructural development. 
2. Micro, Small, and Medium Enterprise supports banks and provides credit in cash.
3. Micro, Small, and Medium Enterprise provide modern quality certification and testing facilities. 
4. Micro, Small, and Medium enterprises help to improve access to domestic as well as export markets by 
5. Micro, Small, and Medium Enterprise provide expert advice and assistance. 
6. Micro, Small, and Medium Enterprise work to better artisans and workers. They help them by providing loans and other services and giving them employment. 
7. Micro, Small, and Medium Enterprise support entrepreneurship and also help them improve their skills by opening specialised training centres. 
8. Micro, Small, and Medium Enterprise also support fields like product development, intervention, design innovation, and packing. 

Role of Micro, Small, and Medium Enterprise

Since the government of India has formed Micro, Small, and Medium Enterprise, this segment has come out as a highly dynamic sector of the Indian economy. Micro, Small, and Medium Enterprise produce a large variety of products for the domestic and international markets. Micro, Small, and Medium Enterprise have collaborated and worked with the government of India in the upbringing of different rural areas. Micro, Small, and Medium Enterprise played an important role in creating employment in rural areas. Due to all the help from Micro, Small, and Medium Enterprise, these backward areas have improved very much and have industrialised. And has agreed with MSME.

Micro, Small, and Medium Enterprise have also played an important role in the country’s development in different areas like the low investment, mobility through the location, high contribution to the domestic production, flexibility in operations, and low rates of import. And hence, the preservation of goods and services is important. 

Importance of Micro, Small, and Medium Enterprise

1. Micro, Small, and Medium Enterprise is the second largest employment generator after agriculture employing more than 120 million people in the field. 
2.  Micro, Small, and Medium Enterprise Contributes in almost 45% of India’s total goods exported out of the country. 
3. Micro, Small, and Medium Enterprise contribute 6.11% of  GDP from manufacturing and 24.63% from service activities.
4. Micro, Small, and Medium Enterprise gives opportunities to entrepreneurs and gets them to make innovative products that boost the competition and fuels growth. 
5. Micro, Small, and Medium Enterprise is wished to contribute more shortly and make a $5 trillion economy. 

Problems faced by Micro, Small, and Medium Enterprise

1. Financial issue: The problem of finance has always been there in Micro, Small, and Medium enterprises, in India for smaller firms. All the smaller firms are mostly dependent on their resources, and hence there is always a lack of resources. 
2. Infrastructure: In countries like India, infrastructure is really important. Applications like ecommerce and BPO are creating many job opportunities in low-wage countries like India.
3. Lack of innovation:  Micro, Small, and Medium enterprises are not very innovative. Their technology is outdated, and there is a lack of entrepreneurs in this sector. As a result, Micro, Small, and Medium enterprises had to face problems related to low productivity and outdated technology.

Conclusion

Micro, small and medium enterprises is a very important sector of the economy, and it contributes immensely to India’s socio-economic expansion. Conclusion: Many features help in the growth of the firm and the nation as a whole. Micro, Small, and Medium Enterprise have collaborated and worked with the government of India in the upbringing of different rural areas. The government needs to make more policies regarding Micro, small and medium enterprises so that they can grow and make our nation grow with it.