Education and Career Forum

explain the problem faced by small scale industries in india.
thanks.

Problems exist everywhere, In the same way Small scale industries also faces some issue while growing in the market.

Before sharing the problems of Small scale industry I would like to focus about the Small scale Industry.

Basically a small scale industry term is used to represent a company which have less number of employees and have limited work. This type of firm is operated by a businessman of medium class. To run this type of industry total 20-30 Lakhs capital is required. Government gives a lot of benefits to these Industries like :
Tax relaxation benefits, Loan facility at a very small amount of interest,Market reservation facility to encourage their products, security in field of business.

Apart from these benefits SSI is facing a lot of problems like :

1-Market competition is so high that sustaining in market is becoming very difficult.
2-To set up any small plant at least 20-30 lakhs money is required and is a major issue.
3-Very difficult to launch their products at global level.
4-People used to go for brand instead of quality of that products.
5-Proper management is required to run a firm.
6-Lack of man power is caused loss to small firm.
7-Small loss destroys the stability of a firm