Inability to access markets, retain customers top challenges for MSMEs: Report

Posted under: MSME's
Date: 2023-10-10
Inability to access markets, retain customers top challenges for MSMEs: Report

ICRIER's recent report found that many MSMEs face challenges accessing markets, retaining customers, and marketing their products. The report surveyed 2,007 MSMEs between November 2022 and January 2023, with 65% being micro-sized, 19% small, and 16% medium-sized firms. Younger and more educated MSME owners were more likely to adopt e-commerce platforms, and export-oriented MSMEs integrating with e-commerce platforms had better performance indicators. Of the surveyed enterprises, 1,005 were already integrated with e-commerce, while 1,002 were not. E-commerce integration helps MSMEs access markets and financing but requires government policies to create a supportive environment. MSMEs face market access, infrastructure, credit, labour, and payment challenges. The government should consolidate programs, improve coordination, and increase awareness of incentives. The survey covered MSMEs from six product categories in multiple cities.

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