The performance of road pavement mainly depends upon the properties of subgrade soil. The failures occur in case of road pavement is due to poor strength characteristics and high volume change behaviour of subgrade soil. Thus, considering the performance criteria, subgrade soil needs to be treated so as to make it suitable for the construction of road pavement. It was observed that, soil stabilization using various admixtures is more effective and commonly used practice for enhancing the properties of subgrade soil. The previous research shows that subgrade soil stabilization can be achieved with the application of various environmental friendly (Bio – Enzymes) and smart materials (Agricultural and Industrial waste) in required quantity to enhance the physical, strength and volume change characteristics of natural soil. It was also observed that, the combined use of such materials makes the subgrade soil more suitable for the construction of road pavement. From the experimental investigations of various available research works on subgrade stabilization, it was observed that strength and volume change properties such as California Bearing Ratio (CBR), Unconfined Compressive Strength (UCS) and Swell Pressure of subgrade soil can be effectively changed with the help of use of such materials. It was also observed that use of conventional methods has negative impact on environment. Thus, subgrade can be stabilized with eco – friendly and cost effective materials to achieve both economic and serviceability criteria.