Quick Overview

Moving ahead from the relatively narrow conventional perception on the SME role in the economy, the evolving global agenda of ‘sustainable development’ places it at the centre-stage of global debates. SMEs today are perceived to have a dual role in the economy, by providing the relevant linkages on the one hand, and offering a solution of harnessing the potential of the ‘job-seekers’ into ‘job creators’. Entrepreneurship and SME development are essentially labour market problems. However, the evolving global production structure visualizes a new role and relevance for SMEs. The paradigm of ‘Industry 4.0’ offers new opportunities as well as threats to SMEs. Accordingly, both the market place and work place have been redefined. The shift from ‘scale economies’ to ‘scope economies’ would demand a policy package that is discrete and specific to the particular socio-economic environment of countries.