Functions, Role, Development, and Sustainability of MSMEs in the Context of Entrepreneurial Development

Abstract

Micro, small, and medium-sized businesses (MSME's) have unquestionably become a significant and dynamic sector of the Indian economy. In addition, this industry is extremely crucial to India's economic growth because it employs more people than the agriculture industry. The industry also generates one-third of all export earnings, accounts for around 8% of GDP, and aids in a number of other goals, like promoting exports, increasing employment output, encouraging entrepreneurship chances, etc. The main benefit and function of this sector is the possibility of low-cost employment. MSME's sector does, however, face a number of difficulties, such as high raw material costs, collateral requirements, rising fuel prices, competition from both domestic and foreign markets, a lack of credit facilities from financial institutions, etc. Every day, 79 MSMEs fall ill due to financial issues; although the government has taken numerous measures to help this sector, the issue still exists. Without unemployment growth and environmental concerns, India may not be able to fulfill its sustainable development target. MSMEs are a crucial component of maintaining sustainable development since they increase economic growth, create jobs, combat poverty, and lessen inequality. Sustainable development is possible through inclusive growth that upholds prosperity and human dignity. The study's goal is to evaluate MSMEs' performance and their contribution to India's continued sustainable growth. The survey also emphasizes MSMEs' usage of sustainable practices. The current article looks into MSME performance metrics, their potential economic impact, and other initiatives different parties have done to support MSME development in India