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ASSIGNMENT
Course Code : MS - 93
Course Title : Management of New and Small Enterprises
Assignment Code : MS-93/TMA/SEM - I /2014
Coverage : All Blocks
Note : Attempt all the questions and submit this assignment on or before 30th April, 2014
to the coordinator of your study centre.
1. How is the Industrial Policy Statement of 1991 different from IPR 1980? Discuss.
Answer : Concept of IPRs
An Industrial Policy Statement
1.Is announced by the Industry Ministry
2.Clarifies commitments of the public and private sectors in industrial sector
3.Is expected to provide clarity of the several aspects relating to the sector
4.Facilitates the long term plans for the private sector (domestic/ foreign) in admixed
economy framework
2. Differentiate between selling and marketing orientation using illustrations.
Answer : Market and sales orientations are different philosophies about how to align and
organize a business. Market orientation looks outward toward the customer and focuses all
aspects of a business -- not just the marketing department -- on satisfying her needs and
wants. Sales orientation looks inward at the business and its need to sell products or
services. Market orientation assumes that customers make buying decisions; sales
orientation assumes that the customer is reluctant to purchase. Both orientations affect the
strategy, processes, organization and culture of a business.

2. Have you ever wondered why the Smartphone company RIM (the makers of the Blackberry
Smartphone) fell out of popularity and why Apple's phone success has grown? The answer is
in the difference between a sales- and
3. What are the types of loans required by small scale units? Explain the sources of
working capital finance and describe the consequences of inadequate working capital.
Answer : Types of loans required by small scale units
What is Working Capital?
A business’s working capital is equivalent to the amount of cash it can deploy very rapidly,
as such even very profitable businesses can have working capital problems, in particular this
can develop because of long dated payments from clients.
Short Term Sources of Working Capital Financing:
Factoring
Factoring is a traditional source of short term funding. Factoring facility
arrangements tend to be restrictive and entering into a whole-turnover factoring
facility can lead to aggressive chasing of outstanding invoices from clients, and a loss
of control of a company’s credit
4. Why are small business owners not able to handle employee relations?
Discuss. What are the measures used for handling employee grievances?
Answer : Running a small business is an exciting venture that can lead to the financial
freedom simple employees work their whole lives to attain. However, with the great
rewards come great risks that can lead us small business owners to financial failures.
By definition the entrepreneur is one who takes risks; the smart entrepreneur and business
operator takes calculated risks. Most have a business plan, have consulted with an
accountant, and often have sought advice from an attorney. However, in one area of
tremendous liability and pitfalls, smaller businesses fall short in their planning and control
employment relationships.
5. Describe the positive and negative side of family business. Does family business
seem to be a useful system to achieve pace in industrial development?

3. Answer : One of the positive impacts that the family can have on the business is the transfer
of knowledge that comes down through generations, providing the business with
management who have an innate understanding of how the business functions and why it
has been successful over a long period.
The downside of such embedded knowledge is
6. Write Short Notes on the following:
(a) Conducive Environment for Small Scale Enterprises
Answer : The environment in which micro and small-scale enterprises (MSEs) start up and
operate is shaped by a number of influences. This paper examines the environment
surrounding Tanzanian business starters. Findings from the study indicate that the
environment for MSEs in Tanzania consists of regulations, bureaucratic and judicial licensing
structures, and a tax regime that create barriers to micro and small entrepreneurs'
endeavours. This environment seems to push MSEs into illegal trading thus undermining
government revenue. In an effort to mitigate the identified constraints the paper develops a
model that recommends several reforms to the
(b) Hen or Egg Controversy
Answer : The chicken or the egg causality dilemma is commonly stated as "which came first,
the chicken or the egg?" To ancient philosophers, the question about the first chicken or egg
also evoked the questions of how life and the universe in general began.
Cultural references to the Chicken and Egg intend to point out the futility of identifying the
first case of a circular cause and consequence. It could be considered that in this approach
lies the most fundamental nature of the question. A literal answer is an egg according to
some people, as egg-laying species pre-date the existence of chickens. To others, the
chicken came first, seeing as
(c) Commercial Banks
Answer : Commercial banks are an organisation which normally performs certain financial
transactions. It performs the twin task of accepting deposits from members of public and
make advances to needy and worthy people form the society. When banks accept deposits
its liabilities increase and it becomes a debtor
Dear students get fully solved assignments
Send your semester & Specialization name to our mail id :
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