Describe about how different industrial policies framed Indian economy. 500 words
Dear Student,
The impact of industrial policies is highlighted in the following points;
(a) Increased Competition: As a result of the policies such as the abolition of the licensing policy, the dereservation of the competition faced by domestic companies has increased. Indian companies experienced competition in the service industry such as telecommunication, banking, insurance, etc.
(b) Increased Demand: With increased competition, the choice of goods and services for the consumers has also increased. Thus, consumers also gain from quality products and greater variety.
(c) Change in Business Policies: The government policies under the new industrial policy directly affected the functioning of the business enterprises. As a result, they altered their policies and operations appropriately. the
(d) Technological Changes: With the increase in competition, firms tend to find new and innovative ways to survive in the market. They increasingly adopt new technology and development. engage in further research and
(e) Need for Trained Personnel: Due to innovations and improvement in products, application of improved technologies, the demand for skilled, trained, and competent personnel has increased. Thus, there arises a need for the development of human resources.
Greater Market Orientation: With increased competition, it has become imperative for enterprises to change production as per the market demand. That is, the production has become market-oriented.
(g) Less Reliance on Budgetary Support by Public Sector Enterprises: To survive the increased competition, the public sector enterprises have realized the need for improving efficiency and productivity. They have reduced their reliance on budgetary support to cover their losses.
Regards
The impact of industrial policies is highlighted in the following points;
(a) Increased Competition: As a result of the policies such as the abolition of the licensing policy, the dereservation of the competition faced by domestic companies has increased. Indian companies experienced competition in the service industry such as telecommunication, banking, insurance, etc.
(b) Increased Demand: With increased competition, the choice of goods and services for the consumers has also increased. Thus, consumers also gain from quality products and greater variety.
(c) Change in Business Policies: The government policies under the new industrial policy directly affected the functioning of the business enterprises. As a result, they altered their policies and operations appropriately. the
(d) Technological Changes: With the increase in competition, firms tend to find new and innovative ways to survive in the market. They increasingly adopt new technology and development. engage in further research and
(e) Need for Trained Personnel: Due to innovations and improvement in products, application of improved technologies, the demand for skilled, trained, and competent personnel has increased. Thus, there arises a need for the development of human resources.
Greater Market Orientation: With increased competition, it has become imperative for enterprises to change production as per the market demand. That is, the production has become market-oriented.
(g) Less Reliance on Budgetary Support by Public Sector Enterprises: To survive the increased competition, the public sector enterprises have realized the need for improving efficiency and productivity. They have reduced their reliance on budgetary support to cover their losses.
Regards