Employment generation growth rate in enterprises among Indian states

Mohammed Babagana Shettima and Priyanka Banerji

International Journal of Business and Globalisation, 2020, vol. 25, issue 4, 474-488

Abstract: The SME sector is exceedingly an imperative segment of the economy because of its contribution to GDP, exports, job creation, and overall social and economic development. Government designs policies, programs, schemes and ensures its effectual execution for the augmentation and expansion of the MSMEs. Conclusion in the study revealed that there are disparities in the Indian states' share of employment generated by MSMEs. This may be due to several factors which may comprise inadequate and asymmetrical access to finance, lack of infrastructures, obsolete technology, unproductive market linkages, lack of awareness among others. Data is been obtained from the secondary source and Thiele-T statistics model is used to examine the inter-state disparities and employment generation growth rate of enterprises. New business models and strategies are recommended in the paper to increase employment generation by MSMEs in the society at large. Government needs to acquire effective procedures by having an undeviating intercession to the enterprises so that the lagging states are endowed with the indispensable resources which on the whole guarantee a sustainable employment generation growth rate.

Keywords: challenges; disparities; employment generation; growth rate; India; micro; small and medium enterprises; MSMEs; state's share. (search for similar items in EconPapers)
Date: 2020
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