Small scale industries have existed for over 4000 years, flourishing in ancient cultures like Egypt, Babylon, Greece and Rome. Adam Smith recognized the importance of small local businesses in his 1776 book "The Wealth of Nations". In developing countries, small scale industries tend to be labor intensive with limited economies of scale, infrastructure, and technological capabilities. Various Indian institutions were established to promote small scale industries, which suffered during British colonial rule, including the National Small Industries Limited and Small Industries Development Bank of India.