Small and Medium Enterprises (SMEs) are the backbone of our economy. SMEs in India constitute more than 80 percent of the total number of industrial enterprises, yet they have not been able to make significant progress as their growth has been hampered and plagued by a host of problems ranging from financial instability to technological obsolescence. Their problem has further been compounded by the indifferent attitude of the government towards their plight. All this and more has led to closing down of a number of SMEs while many others continue to reel under heavy losses or insufficient funds.
One of the major challenges faced by SMEs is the financial instability and lack of access to finance. SMEs find it difficult to seek institutional credit from banks and financial institutions because of a large number of impending rules and regulations. According to a recent report, close to 95 percent of SME units did not have access to any kind of formal institutional credit. They are often ignorant of any financial scheme for the SMEs and hence fail to seize upon the opportunity to gain that much needed easy access to finance. Besides, financial mismanagement is rampant in such enterprises due to their small and fragmented nature and the inability to locate and nip such mismanagement in the bud eventually leads to their downfall.
Another problem faced by the SMEs is that of technological obsolescence and lack of innovativeness. This is a major deterrent towards them competing successfully and economically in the market. SMEs find it increasingly difficult to stay up to date with latest technology as they lack the necessary resources and funds to invest in the modern and latest technology. As a result, they are forced to work with obsolete technology which acts as a major disadvantage.
SMEs also find it very difficult to attract and retain the best minds in the country as they are lured away by big corporate houses with unmatched salaries and perks. Lack of technically trained employees and those with sound management skills is driving these SMEs to unprofitable operations.
SMEs have further not been able to capitalize on the immense opportunities that the globalization has to offer. Globalization has opened newer avenues and territories which the SMEs have failed to explore and exploit largely due to their inability to market themselves abroad. This has resulted in a major downfall in their share in exports. Moreover, many SMEs have not even been able to market and promote their products and services within the country as well as a result of which, they have often lost out to bigger competitors with a greater visibility in the market. Besides this, SMEs have failed to realize the true potential of Internet and as such have failed to take advantage of the strong and relatively new medium of Internet for promoting and selling their products.
The stringent rules and regulations and heavy taxes imposed by the government are some other factors that have hindered their progress. However, things have begun to look up now with the government enacting special laws and acts for the growth of SMEs. The enactment of the Micro, Small and Medium Enterprises Development (MSMED) Act, 2006 has been a giant step taken by the government to address the issues and problems faced by the SMEs and empower them to face the challenges posed by globalization and internationalization.
SMEs in order to increase their competitive advantage need to market themselves and their products through proper channels and adequate medium of communication. They need to form strong and mutually beneficial association with business development service providers which in turn can provide them the necessary expertise, technical knowhow and a comprehensive market exposure.
Crystal Hues is an ISO 9001:2008 organization that has been providing translation services combined with localization, advertising and promotion services for over 20 years. Crystal Hues has offered its services to a number of SMEs in the past who have taken the advantage of its economic and tailor made services for entry into foreign markets, advertising and promoting their products and services across various media of communication, online marketing and building a comprehensive knowledge database. Crystal Hues’ translation and localization services provide that initial launch pad to SMEs wanting to explore and venture into foreign markets. Dissipation of information through properly translated and localized content provides the SMEs with instant acceptability thereby making their work a whole lot easier. The knowledge, thus gained about the local language and the prevailing customs and traditions goes a long way in strengthening their position in foreign markets.
Crystal Hues’ advertising and promotion services are in sync with the most widely missing requirement of the SMEs- the necessary market exposure and visibility. Crystal Hues brings its varied experience to the fore that acts as a catalyst in establishing the products and services of SMEs in the market. Crystal Hues’ perfect understanding of the specialized and different requirements of the SMEs has worked wonders for various SMEs in the past who have been hugely benefitted by the custom made services of Crystal Hues. Besides, Crystal Hues’ online promotion and marketing services can further unleash the true potential of SMEs by enhancing their online visibility and providing them a perfect online platform to market and sell their products
Crystal Hues, with its eminent services and immaculate knowledge of the market perfectly addresses the issue and concerns of the SMEs and has been at the forefront of delivering a positive change in the position of the SMEs.
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