Question

Give any two problems of cottage and small-scale industry.

Answer 1

Following are the problems faced by cottage industry and small-scale industries:-

1. Finance: - Finance is the most important element of any industry. They do not have a very good economic background, so they do not get much finance. So, they have to lend money from moneylenders who provide them money at very high interest rates.
   
2. Marketing: - These small scale units are also exposed to marketing problems. They are not in a position to get much information about the market i.e. about the competition, taste, liking, disliking of the consumers and prevalent fashion.