Question

Explain the role of small business in rural India.

Answer 1

The role of small business in rural India are as follows :

1. Employment opportunities: Cottage and rural industries create a lot of employment opportunities in the rural areas especially for the traditional artisans and the weaker sections of society.

2. Prevents migration: Establishment of these industries in the rural areas prevent the migration of rural population to urban areas in search of employment.

3. Reduce inequalities: Cottage and rural industries help in reducing in income, disperse development of industries and establish a link with other sectors of the economy.