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Attempt the following. Explain in brief the impact of capital on Small Scale industries. - Organisation of Commerce and Management

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प्रश्न

Attempt the following.

Explain in brief the impact of capital on Small Scale industries.

संक्षेप में उत्तर
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उत्तर

The major problem faced by small scale industries is insufficient capital, which creates the following difficulties with them.

  1. Borrowings of Capital from Landlords and Money Lenders: Nationalised and Co-operative banks are not ready to finance Small Scale Industries without security. Thus, they are forced to borrow from money lenders, where they have to pay a very high rate of interest.
  2. Storage of Raw material: Small Scale Industries are agro-based. The raw material is available seasonally. To stock goods, they required huge finance. Due to lack of finance, they run industry only in seasons.
  3. Lack of Skilled Labour: Only unskilled and semi-skilled labourer are available. Small Scale Industries cannot afford labour cost of skilled labourer which affect the quality and quantity of production and profitability.
  4. Outdated technology: Due to insufficient capital, production methods used by SSI are old, which results in poor quality and quantity of output.
  5. Weaker Marketing Skill: In today's world marketing plays an important role. The rural area is facing marketing problem due to lack of facilities and knowledge and they are exploited by middlemen too.
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अध्याय 3: Small Scale Industry and Business - EXERCISE [पृष्ठ ५८]

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बालभारती Organisation of Commerce and Management (OCM) [English] Standard 11 Maharashtra State Board
अध्याय 3 Small Scale Industry and Business
EXERCISE | Q 6 3) | पृष्ठ ५८

संबंधित प्रश्न

Select the correct option and rewrite the sentence.

The problem of __________ has been becoming more serious in India.


Select the correct option and rewrite the sentence.

India is __________ abundant country.


State True or False:

Small Business can not survive in the competition.


Find the odd one.


Complete the sentence.

SSI is _________ largest industry which creates huge employment opportunities.


Complete the sentence.

SSI requires __________ capital as compared to large scale industries.


Select the correct option.

A B
___________ Does not exceed ₹ 10 lakhs

Select the correct option.

A B
More than ₹ 10 lakhs but does not exceed does not exceed ₹ 2 crores __________

Answer in one sentence.

What is SSI?


Correct the underined word and rewrite the following sentence.

Small scale Industry uses advanced technology.


Correct the underined word and rewrite the following sentence.

SSI begins with large amount of capital.


Arrange in proper order.

a) Selection of a place
b) Selection of a product
c) Business proposal
d) Selection of technology


Give one word/phrase/term. For the following sentence.

An industry using power with less than 50 employees.


Give one word/phrase/term.

An industry using power with less than 50 employees.


Give one word/phrase/term. For the following sentence.

An industry using power with less than 50 employees.


Give one word/phrase/term. For the following sentence:

An industry using power with less than 50 employees.


Which feature is NOT typically associated with Small Scale Industries?


Which of the following is a key benefit of SSIs for the Indian economy?


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