Why India needs small businesses
Government policies ignore small businesses
Government policies ignore small businesses
Small businesses know how to fight back during adversities. They thrive on focusing on humans, and not just profits. Bajaj Auto is struggling to get back on its feet even after getting the clearances.
Rajiv Bajaj, the managing director said, “Speaking to CNBC-TV18, Rajiv Bajaj said, “There is confusion among authorities in Maharashtra. Every official is exercising his own powers. Collectors, MIDC, Municipal Commissioners and the police are all coming up with their individual orders. Collectors should issue clear guidelines for containment and non-containment zones. Every other authority should follow them without their own interpretations”.
EF Schumacher’s Small is Beautiful talks how small scale trumps the big scale. Things are best done, in other words, at the smallest appropriate scale. Hence, Schumacher’s vision wasn’t that everything should be small and local, but that in all things, ranging from decision-making in firms, to growing and distributing food and generating energy, our default position should be toward human scale.
About 80% of small businesses in India do not receive bank finance. There is a gap in the market for the credit. If government of India helps small businesses with the right policy and finance, they will be able to grow, and offer decent jobs in the future.
Dig deeper: MSME report 2019 Link