MSMEs & DIGITAL TECHNOLOGY: NEW PILLARS OF THE ECONOMY

Digital technology has a huge impact on all conceivable aspects of life, and it is transforming business in the global economy. It can help MSMEs expand their market reach at domestic and international levels. It is changing the shape of MSMEs at a faster pace. With appropriate digital strategies and quality products, anyone can make a big name for themselves in the market.

- Lokendra Ranawat

Creating an authentic presence is necessary in our digitally inclined world. It helps attract the targeted audience, which will help the company have a consistent and reliable image in the market. Reliability is an important feature that will naturally help MSMEs expand in the digital space. Overcoming these issues will help various MSMEs survive the digital roadblock.

Importance of MSMEs for Indian Economy

The MSMEs have a 30 per cent share in India’s GDP & employment and act as the pillars of our economy. About 56 million MSMEs add products to address the specific needs of the nation and thus behave like entrepreneurs. MSMEs help to generate employment at the local level, and for a country like India, it’s the need of the hour.

India SME forum conducted a survey, which had 1,29,537 MSMEs respondents; the survey showed that around 50 per cent of MSME respondents claimed to know about the benefits of the usage of digital technologies. However, a shocking 70 per cent of MSMEs lack the knowledge and understanding about digital tools. The main obstacle cited was the lack of knowledge which restricted the wider adoption of technology.

The pandemic became the revolution phase for various MSME sectors. India SME ministry is working hard towards lowering the digital gap by conducting informative workshops to help these conventional companies spread their business and cope up in these tough times.

Factors Keeping MSMEs from Reaching Full Potential