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FACILITATING SME’S ACCESS TO
INTERNATIONAL MARKETS
AKSHAY MALGI
Current status of SMEs in India
 Domestic Market
Sl. No. Sectors/Parameters Contribution
1 Industrial Input 45%
2 Exports 40%
3 % of GDP 8%
4 Employment 42 million
5 Employment
generation/year
1 million
6 Products > 8000
International Market
 Contribute between 1/4th and 1/3rd of manufactured exports globally
 Contribute to less than 10% of FDI
SWOT ANALYSIS
STRENGTH WEAKNESS
1. Advantages in ICTs (Internet)
2. High in innovation
3. Quality products at competitive
prices
4. Strong integration with domestic
market
1. Access to Global markets
2. Investment scale and scopes
3. Low technological upgradation
4. Low risk-bearing capacity
5. Relatively/largely smaller firms
6. Lack of industrial work culture
OPPORTUNITIES THREATS
1. Globalisation
2. Explore new niche markets
3. Reap technological advantages
4. Integrate with Global Supply Chain
1. Heightened International
competition
2. Issues of standards and
International
compatibility
3. Intellectual Property concerns
4. Political Risks
5. Corruption
6. Rule of law concerns
Opportunities to Indian SME sector
Ways to
integration
of Indian
SMEs
Globally
Direct and
Indirect
exports
International
Alliances
Inter-firm
clustering
and
networking
Participants in
Mergers and
Acquisitions
Barriers & Impediments for SME Globalization
Bottlenecks
Lack of
collaboration
between
SMEs
Gegoraphical
Imbalances
Protectionist
mindset of
countries
Government
Policy
Support
THANK YOU

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Indian SME access to International Markets

  • 1. FACILITATING SME’S ACCESS TO INTERNATIONAL MARKETS AKSHAY MALGI
  • 2. Current status of SMEs in India  Domestic Market Sl. No. Sectors/Parameters Contribution 1 Industrial Input 45% 2 Exports 40% 3 % of GDP 8% 4 Employment 42 million 5 Employment generation/year 1 million 6 Products > 8000
  • 3. International Market  Contribute between 1/4th and 1/3rd of manufactured exports globally  Contribute to less than 10% of FDI
  • 4. SWOT ANALYSIS STRENGTH WEAKNESS 1. Advantages in ICTs (Internet) 2. High in innovation 3. Quality products at competitive prices 4. Strong integration with domestic market 1. Access to Global markets 2. Investment scale and scopes 3. Low technological upgradation 4. Low risk-bearing capacity 5. Relatively/largely smaller firms 6. Lack of industrial work culture OPPORTUNITIES THREATS 1. Globalisation 2. Explore new niche markets 3. Reap technological advantages 4. Integrate with Global Supply Chain 1. Heightened International competition 2. Issues of standards and International compatibility 3. Intellectual Property concerns 4. Political Risks 5. Corruption 6. Rule of law concerns
  • 5. Opportunities to Indian SME sector Ways to integration of Indian SMEs Globally Direct and Indirect exports International Alliances Inter-firm clustering and networking Participants in Mergers and Acquisitions
  • 6. Barriers & Impediments for SME Globalization Bottlenecks Lack of collaboration between SMEs Gegoraphical Imbalances Protectionist mindset of countries Government Policy Support