According to a survey report by the SP Jain Institute of Management & Research (SPJIMR), the Reserve Bank of India (RBI) needs to consider strategic policy interventions to support Indian family businesses facing competitive challenges due to persistent inflation, rising raw material costs, and labor expenses. The survey, titled 'India: State of Family Business 2023,' involved 357 family businesses in 17 cities, with a majority being micro or small enterprises. The report found that growing competition is the main challenge for 55.7% of family businesses, followed by rising raw material and labor costs. Even MSMEs face competition with 57.3% of micro, 55.4% of small, and 51.5% of medium businesses citing it as their primary challenge. Technology integration is suboptimal, with 37.5% having no digital sales and 57% having up to 20%. The report suggests policy incentives to promote technology adoption and digital solutions.
According to a survey report by the SP Jain Institute of Management & Research (SPJIMR), the Reserve Bank of India (RBI) needs to consider strategic policy interventions to support Indian family businesses facing competitive challenges due to persistent inflation, rising raw material costs, and labor expenses. The survey, titled 'India: State of Family Business 2023,' involved 357 family businesses in 17 cities, with a majority being micro or small enterprises. The report found that growing competition is the main challenge for 55.7% of family businesses, followed by rising raw material and labor costs. Even MSMEs face competition with 57.3% of micro, 55.4% of small, and 51.5% of medium businesses citing it as their primary challenge. Technology integration is suboptimal, with 37.5% having no digital sales and 57% having up to 20%. The report suggests policy incentives to promote technology adoption and digital solutions.