Growth And Performance Of MSMEs In Nagaland

Abstract

Micro, Small and Medium Enterprises (MSMEs) play a major role in the economic development of any country contributing to the Gross Domestic Product (GDP) and employment generation. The Micro, Small and Medium Enterprises in India contribute to the economy of the country by providing employment and industrialization. With the increase in population and unemployed educated youths, the sector provides employment with low capital cost and promote industrial development in urban, rural and backward areas. The purpose of this paper is to study the growth and performance of Micro, Small and Medium Enterprises in Nagaland with reference to total number of enterprises, employment generation and fixed investments. The data for the study are collected from secondary sources Directorate of Industries and Commerce Govt of Nagaland, Udyog Aadhaar Memorandum (UAM) publication and report from Ministry of Micro, Small and Medium Enterprises (MSMEs). In this paper, multiple regression analysis has been used as the statistical tool to study the growth and performance of MSMEs in Nagaland during the study period. The number of MSME units is used as the dependent variable and the independent variables are employment generation and fixed investments. The finding shows employment generated influence the number of MSME units than fixed capital.