3. Recent studies point out that small producers in India need three things to compete better in the marked
(a) better roads, power, water, raw materials, marketing and information network (b) improvements and
modernisation of technology (c) timely availability of credit at reasonable interest rates.
Can you explain how these three things would help Indian producers?
Do you think MNCs will be interested in investing in these? Why?
Do you think the government has a role in making these facilities available? Why?
Can you think of any other step that the government could take? Discuss.
Answers
Explanation:
Progress in these areas will help in following ways
a) Better Road will lead to the quicker means of transport of raw material and products.
Better power results in more production in less time
Water is a necessity of every sector be it small or large producers. It helps in efficient working especially in industries like beverages.
More raw material more production
Marketing results in more sales which in turn increases profit
Information technology is an effective means of promotion and marketing these days
b) Modernization of technology has resulted in better production techniques which result in more quicker production to meet ever increasing demands
c) Businesses work on funding either they are small or large. So, timely credits will help in expanding the business and timely production of goods