A Comparative Study of SMEs' Contribution in India and China: A Study of Selected Sectors

Abstract

The most important factor for economic development of a country is its industrialization. In the process of industrialization, importance given to the three major groups of industries; large-scale industries, small-scale industries and cottage industries. Small and medium-sized enterprises (SMEs) play a vital role in the economic development of nations. Therefore, it is vital to evaluate the performance of SMEs to support the rose. Current SME performance models suffer from a number of disadvantages. Therefore, Scope of our study is limited to make micro level comparative analysis of unit, employment, production & export of SME sector in India and china with special reference to Chemical Sector, Pharma Sector and Textile Sector.

In many aspects, China and India are very similar. Both countries are located in Asia with similar sized respondents, and both belong to the group of emerging markets with fast-growing economies.

The thesis addresses three major questions (1) Evaluate & compare the performance of Chemical Sector, Pharma Sector and Textile Sector SMEs. (2) Study the policy matters related to Chemical Sector, Pharma Sector and Textile Sector SMEs in India and China and their impact on the business (3) Find out problem, issues & prospects of Chemical Sector, Pharma Sector and Textile Sector SMEs in India & China.

There are negligible researches available on comparative study of India vs. China with special reference to SMEs. Therefore, there is a need to study the role and contribution of SME sector in India and China.