Small scale business

industries
Introduction on small scale industrie
Small scale industries are the
backbone of our industrial
structure as they provide a
variety of non-traditional, low
technology products. They are
also engaged in the processing,
manufacturing & service
providing activities and play a
vital role in balanced and
sustainable economic growth.
Definition:-

Small scale industries are labour intensive and requires less

capital. Small scale industries comprise of small enterprises
that manufacture goods or provide services with the help of
smaller machines and a few workers and employees.
Characteristics of Small Scale Industr
ies:-
 Ownership: Such units are generally under single ownership.

 Flexibility: These units are more adaptable to their changing

business environment.

 Labor Intensive: These small scale industries tend to use labour

and manpower for their production activities.
 Resources: They use local and readily available resources.
This also helps the economy with better utilization of natural
resources and less wastage.

 Management: Both the management and the control generall

is with the owner/owners.
Role of Small Scale Industries in the Indian
Economy:-

Role of Small scale

industries is to help the
government in
increasing
infrastructures and
manufacturing
industries, reducing
issues like pollution,
slums and poverty.
Welfare of the Public:-
These industries are usually started by the lower or
middle-class public. They have an opportunity to earn
wealth and employee other people. This also contributes
in social progress.
Importance of Small Scale Industries:-

Small scale industries are

important because it helps
in increasing employment
and economic
development of India. It
improves the growth of
the country by increasing
urban and rural growth.
 Advantages of small scale industries:-
 Potential for large employment:- Small Scale Industries have
potential to create employment opportunities on a massive
scale.

 Use of domestic resources:- Small Scale Industries use locally

available resources in a productive manner which would have
gone waste.

 Requirement of less capital:- Small Scale Industries require less

capital as compared to large scale industries.
 Opportunity for talent:- Small Scale Industries provide
opportunity for talented individuals who do not have
huge funds, to start enterprises on a small scale.

 Quick decisions:- Since the enterprise is small and there

is not much hierarchy, quick decisions.can be taken.
THANK YOU