MSME Growth Dilemma: Create More or Reduce Mortality?

5 Pages Posted: 9 Dec 2014

See all articles by Brajaballav Kar

Brajaballav Kar

KIIT University - School of Management

Rabi Subudhi

KIIT Deemed to be University, School of Management

Date Written: December 9, 2014

Abstract

To achieve a targeted GDP growth rate we calculate resources in terms of professionals. But how many entrepreneurs are necessary? How many new firm formation are necessary? These questions are rarely debated. Studies show that there exists a correlation between the expected growth rate and requirement of professionals to achieve a targeted growth rate. Even in case of a no-growth condition, we still theoretically need to have professionals, who are going to replace the professionals who would be retiring soon, out of the market. Similarly in case firms, new firm formation growth has to be sufficient, in order to achieve the economic growth.

Keywords: MSME, mortality, GDP Growth, Entrepreneur

JEL Classification: entrep

Suggested Citation

Kar, Brajaballav and Subudhi, Rabi, MSME Growth Dilemma: Create More or Reduce Mortality? (December 9, 2014). Available at SSRN: https://ssrn.com/abstract=2535864 or http://dx.doi.org/10.2139/ssrn.2535864

Brajaballav Kar (Contact Author)

KIIT University - School of Management ( email )

Campus - 7
Bhubaneswar, 751024
India

Rabi Subudhi

KIIT Deemed to be University, School of Management ( email )

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