1. Small-Scale Industries
Mansi Patowary

2. Introduction

3. Types of SSI
• Tiny Industries: Those small scale industries
which have been situated in rural or urban
areas having 50 thousand or less population.
• Ancillary Industries: An industrial units which
is engaged and proposed to be engaged in the
manufacture parts, components, sub-assemblies
or toolings.
• Cottage industries: those small size industries
which use local resources and human force

4. Characteristics of SSI
Irrespective of their location, nature and
political environment, the small business have
certain specific features that are as follows:
Formation
Location
Capital
Management
Means of livelihood

5. Contd.
• Technique of production used
• Market share
• Special feature
• Re-investment of profit

6. Role and importance of SSI
• Little capital
• Opportunities for employment
• Creation of utility
• Less risk
• Ancillary to large-scale industries
• Providing satisfaction to consumer
• Low production cost

7. • Creation of new market
• Flexibility
• Better relation between employer and
employee

8. Problems of SSI
• Problem of adequate finance
• Problem of availability of raw materials
• Want of plant and equipment
• Problem of power
• Problem of marketing
• Problem of export
• Inadequacy of government help
• Problem of taxation

9. Symptoms of Industrial sickness
• Persisting shortage of cash
• Deteriorating financial rations
• Frequent request to banks and financial
institutions for loans
• Morale degradation of employees and
desperation among the top and middle
management level

10. Reasons for industrial sickness
INTERNAL REASONS:
I. Wrong selection
II. Over construction
III. Poor skill
IV. Marketing problem
V. Inability to cope up

11. EXTERNAL REASONS:
I. Infrastructural reasons
II. Finance problem
III. Lack of interest
IV. Slow growth

12. Assignment
• What are the preventive and remedial
measure of SSI.
• Discuss the role played by SSI in the
development of Indian economy.
• Explain the problems faced by SSI and
measures to tackle them.
• Submission:25/8/14
• Test: 27/08/14