SUBJECT – BUSINESS STUDIES CLASS -11

CHAPTER 9 – SMALL BUSINESS SOURCE- NCERT Textbook

S. No. KEYWORDS KEYLINES
1 Small Scale Industries The industries where Capital is scarce and labour is
abundant.
2 MSMED Act The Micro, Small and Medium Enterprises
Development Act ,2006
3 Two Major Categories of Manufacturing Enterprises and Services Enterprises
Enterprises
4 Manufacturing Micro Investment in Plant & Machinery does not exceed ₹25
Enterprises Lakhs
5 Manufacturing Small Investment in Plant & Machinery is more than ₹25
Enterprises Lakhs but does not exceed ₹5 Crores
6 Manufacturing Medium Investment in Plant & Machinery is more than ₹5
Enterprises Crores but does not exceed ₹10 Crores
7 Services Micro Investment in Equipment does not exceed ₹10 lakhs
Enterprises
8 Services Small Investment in Equipment is more than ₹10 lakhs but
Enterprises does not exceed ₹2 Crores
9 Services Medium Investment in Equipment is more than ₹2
Enterprises Crores but does not exceed ₹5 Crores
10 Village Industries Any industry located in a rural areas
11 Cottage Industries / Rural These are organized by individuals, normally use
Industries / Traditional family labour, the equipment used is simple, capital
Industries investment is small and produce simple products.
12 The Small Industries The office of the Development Commissioner (Small
Development Scale Industries)
Organisation (SIDO)
13 The Khadi and Village The KVIC may include the Micro or Tiny Enterprises
Industries Commission or the Village Enterprises as the part of Small
Enterprises
14 Role of Small Business Small industries are 2nd largest employers of human
in India resources, Contribute 45% of the total exports, Supply
variety of Products, Provide ample opportunity for
entrepreneurship and Enjoy the advantage of low cost
of Production.
15 Problems of Small Non – availability of adequate finance to carry out its
Business operations, Can not afford to take the risk of buying
Raw Materials in bulk, No facility to store the
materials, Not in a position to afford professional
managers, Can not afford to pay higher salaries to
employees, and maintaining quality is their weakest
point.
16 NABARD National Bank for Agriculture and Rural Development
( Set up in 1982 to promote integrated rural
development)
17 SIDBI Small Industries Development Bank of India
(Set up as an apex bank to provide direct/ indirect
 financial assistance under different schemes)
18 The District Industries The DICs Programme was launched on 1 May 1978.
Centers (DICs) DIC is the institution at the district level which
provides all the services and support facilities to the
entrepreneurs.
19 RSBDC The Rural Small Business Development Centre
20 NSIC National Small Industries Corporation
21 NCEUS The National Commission for Enterprises in the
Unorganised Sector
22 WTO World Trade Organisation
23 RWED Rural and Women Entrepreneurship Development
24 IRDP Integrated Rural Development Programme
25 Jawahar Rojgar Yojana Scheme to provide wage employment
26 DWCRA Development of women and children in Rural Areas
27 PMRY Prime Minister Rojgar Yojana
28 WASME World Association for Small and Medium Enterprises
29 TRYSEM Training of Rural Youth for Self Employment
30 Tax holiday Exemption from paying taxes for 5 or 10 years is
given to industries established in backward , hilly and
tribal areas.